Donald Trump
Trump Hits Canada With 50% Tariffs But Carney Vows To Fight Back The White House, Public domain, via Wikimedia Commons

Donald Trump reignited trade tensions with Canada by announcing a 50 per cent tariff on most Canadian goods just one day after appearing alongside Canadian Prime Minister Mark Carney at the FIFA World Cup final.

The move came despite the two leaders sharing what appeared to be a friendly meeting during Sunday's showpiece event, with the White House insisting the gathering was not intended to discuss trade.

The tariffs are due to take effect in 30 days and will apply to a wide range of products, although several key sectors have been excluded. Trump said Canada had treated American industries unfairly and also linked the decision to smoke from Canadian wildfires that affected air quality across parts of the United States.

Carney responded by defending free trade and promising support for Canadian workers, while officials on both sides prepared for another round of economic confrontation.

White House Announces New Tariffs

The White House said the new tariffs would cover products ranging from wine and hockey sticks to cement. According to an administration fact sheet, they will take effect in 30 days after Trump signed three proclamations under Section 338 of the 1930 Trade Act.

An administration official, speaking anonymously while previewing the announcement, said Canada was one of the few countries besides China that retaliated against Trump's earlier tariffs and therefore needed to be held accountable.

The 50 per cent tariff will not apply to energy products, potash, fish or critical minerals. However, it will include goods that had previously been protected under the United States-Mexico-Canada Agreement after that 2020 trade pact expired and fresh negotiations began.

The official also said Trump had instructed his advisers to examine further tariffs linked to Canadian wildfires. The President has repeatedly argued that smoke drifting south into the United States has harmed air quality, saying the fires were 'coming in and poisoning our air.'

Trump also accused Canada of discriminating against American vehicles, alcohol and dairy products. His proclamations pointed to Canada's 25 per cent tariff on certain American motor vehicles that did not qualify for preferential treatment under the former trade agreement. He also criticised Canadian provinces for halting the purchase and sale of American alcoholic drinks and repeated his long-running complaint over Canada's treatment of American cheese imports.

The latest announcement came only a day after Trump and Carney attended the World Cup final together. Although the pair appeared relaxed in public, the White House said their time together was not a working meeting focused on tariffs or trade negotiations.

Canada Vows To Defend Workers

Carney criticised the renewed trade action and said the dispute had increased costs for families, especially in the United States.

'Canada believes in the benefits of free and fair trade, as evidenced by our new government signing more than 20 new economic and security partnerships,' he said.

He added: 'This trade dispute has raised costs for families, particularly in the US Canada stands ready to engage intensively to address outstanding issues with the US to the mutual benefit of our citizens.'

Carney also pledged continued support for Canadians, saying: 'In all circumstances, Canada will work relentlessly and take any measures necessary to build our strength at home and to support Canadian workers, farmers, businesses, and families.'

Ontario Premier Doug Ford suggested Canada should respond if the tariffs are implemented.

'If these tariffs proceed, Canada should respond tariff for tariff, dollar for dollar,' Ford wrote on social media.

Trump had already hinted at further action during and after his meeting with Carney. Following their conversation at the World Cup final, the President said he had told the Canadian leader: 'You've got to stop these fires from coming in and poisoning our air.'

He continued: 'I have a good relationship with Mark Carney, but you know, we got to stop the fires up there.'

Trump also suggested that Canada should compensate the United States for the effects of wildfire smoke, adding: 'If we can help them, we'll help them, but maybe they should pay us some damages or something, or should do some tariffs.'

Days earlier, Trump had written on Truth Social that Canada was failing to manage its forests properly and claimed the United States was being 'invaded by filthy, polluted, and unhealthy air, the quality of which is dangerous, and totally unacceptable.'

He also vowed to contact Carney, saying the cost of the smoke was 'incalculable' and arguing that the financial impact 'must of necessity be added to the tariffs Canada is currently paying.'