Trump mentioned tariffs on Canadian auto and metal will double to 50 % from January 1.
Revealed On 24 Aug 2026
United States President Donald Trump has mentioned he’ll double tariffs on Canadian automobiles and vehicles and can introduce tariffs on auto components in 2027, within the newest try to stress Ottawa after tariff negotiations collapsed final week.
On Monday, Trump mentioned tariffs on Canadian auto and metal might be doubled to 50 % from January 1. These are along with the 50 % tariffs imposed on Saturday after commerce negotiations between the 2 nations collapsed.
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Because the tariff on metal is already at 50 %, it’s not clear what Trump meant. He additionally launched 50 % tariffs on auto components, which up to now had not confronted a levy.
“Construct within the U.S. and there are ZERO TARIFFS. Canada might be handled like a State not!” Trump wrote on his social media platform, Fact Social.
“On Commerce, and in different methods, additionally, they’re among the many worst Nations within the World to cope with. They really feel entitled, and but, WE DON’T NEED CANADA, THEY NEED US!”
Canada has constantly been one of many high two buying and selling companions of the US. Final yr, the nation’s items and companies commerce with Canada totaled $872.3bn, down 4.6 %.
Canada exported over three-quarters of its items to the US and imported virtually half of its items from the nation.
US auto manufacturing is closely built-in with Canada and Mexico and the tariffs may have drastic impacts on American manufacturing.
Flavio Volpe, president of Canada’s Automotive Elements Producers’ Affiliation, mentioned, “A threatened US tariff on Canadian auto components might be paid by [the] US auto meeting. With out these particular components, auto meeting all through the US would halt.”
The White Home didn’t instantly reply to a request for remark searching for extra particulars on the threatened tariffs. Representatives for the Canadian authorities additionally didn’t instantly reply to a request for remark.
The 2 nations failed to succeed in a commerce deal late on Friday, with all sides blaming the opposite. Canada readied tariffs on some US items in retaliation for 50 % levies ordered by Trump on different Canadian merchandise.
Main automakers didn’t instantly touch upon Trump’s announcement.
However auto executives, chatting with Reuters on the situation of anonymity, raised scepticism about Trump’s menace, noting the president has beforehand introduced massive tariffs that by no means materialized and that any tariff of that dimension would possible spark an enormous Canadian retaliation.
Additionally they famous that January was months away and after November’s midterm elections, asserting that Trump’s menace could possibly be aimed toward restarting talks.
