Trump imposes 50% US tariffs on some Canadian goods, citing discrimination | International Trade News
President Trump Announces 50 Percent Tariffs on Canadian Imports
Published July 21, 2026
U.S. President Donald Trump announced a new imposition of 50 percent tariffs on a variety of Canadian goods, citing “discriminatory treatment” by the Canadian government toward U.S. alcohol, automobile, and dairy products. The tariffs are set to take effect in 30 days and will apply to several items, including wine, hockey sticks, and cement, according to a White House press release.
The president’s announcement follows the earlier rejection of many of his tariffs by the Supreme Court. This time, Trump is utilizing a lesser-known legal provision under Section 338 of the Tariff Act of 1930 to impose the new duties.
Notably, the tariffs will not affect energy, potash, or items already subject to existing sector-specific tariffs. However, they will target products covered under the United States-Mexico-Canada Agreement (USMCA).
The announcement has raised alarms among businesses concerned about potential trade escalations. Since taking office again last year, Trump has implemented significant tariffs on various trading partners, generally exempting goods entering the U.S. under the North American free trade pact.
This latest move is poised to further strain relations with Canada, the U.S.’s second-largest trading partner. The announcement follows recent threats from Trump regarding increased tariffs in response to smoke from Canadian wildfires affecting parts of the U.S.
The White House noted that Canada, along with China, was one of only two nations that retaliated against U.S. tariffs last year. Officials pointed out that many Canadian provinces have stopped purchasing U.S. alcohol in response to Trump’s tariff threats and his previous calls for Canada to become the “51st state.”
U.S. Trade Representative Jamieson Greer criticized Canada for ceasing U.S. alcohol imports, providing better market access to European dairy products, and limiting U.S. vehicle exports to Canada from companies relocating to the United States.
“The purpose of the tariff announcement is to hold Canada accountable for its retaliation and discrimination,” Greer stated.
