economy
Trump announces new 50% tariff on Canadian cars, trucks and steel
Move is latest deterioration in trade relations between neighbors with historically strong economic ties
TL;DR
- Donald Trump announced a 50% tariff on Canadian automobiles, parts, and steel starting January 1, 2027.
- Trump accused Canada of "ripping off" the US for years and stated that Canada needs the US more than vice versa.
- Canadian Prime Minister Mark Carney described the tariff as an expected reprisal but vowed to match American tariffs dollar-for-dollar.
- This latest tariff follows the collapse of a potential deal to lower tariffs on automobiles and other materials.
- Canada and the US have historically strong economic ties, with roughly $909 billion in annual trade.