Trump Threatens 100% Tariff on Canada Over China Trade Deal

WASHINGTON (JN) – U.S. President Donald Trump on Saturday threatened to impose a 100% tariff on Canadian imports if Ottawa proceeds with a recently announced trade arrangement with China, escalating an increasingly public confrontation with Canadian Prime Minister Mark Carney.

The warning, delivered via social media, adds fresh tension to the U.S.–Canada relationship at a moment when Washington is pressing allies to limit economic engagement with Beijing, while Canada seeks to protect key export sectors amid ongoing global trade disruptions.

The dispute blends trade policy with a broader diplomatic rift, as Trump sharpens his rhetoric toward Canada’s leadership and challenges long-standing assumptions about North American economic integration.

Tariff threat follows Canada–China trade announcement

Trump said the tariff would take effect “immediately” if Canada moved ahead with its agreement with China, accusing Ottawa of allowing Beijing to use Canadian ports as a backdoor into the U.S. market. He offered no timeline or procedural details, and the White House declined to clarify the scope or mechanism of the threatened measure.

Canada announced the trade arrangement earlier this month, saying it would ease tariffs on certain Chinese electric vehicles in exchange for reduced Chinese import taxes on Canadian agricultural products. At the time, Trump publicly praised the move, calling it a sensible effort to protect domestic industries.

Canadian officials insist the agreement stops short of a free-trade pact. Dominic LeBlanc, Canada’s minister responsible for U.S. trade, said the discussions with Beijing resolved “several important trade issues” while maintaining safeguards aligned with Canada’s broader trade framework.

Growing political rift between Trump and Carney

The tariff threat comes amid a deteriorating relationship between Trump and Carney, who has emerged as a prominent voice among middle-power nations advocating greater independence from U.S. economic pressure.

Trump has increasingly targeted Canada in public remarks, referring to Carney as “Governor Carney” and reviving rhetoric that questions Canadian sovereignty. He has previously suggested Canada could become a U.S. state and shared altered images online depicting Canada as part of an expanded United States.

Carney has responded by emphasizing national independence and warning against coercive economic diplomacy. Speaking recently at the World Economic Forum in Davos, he argued that mid-sized economies must coordinate more closely to avoid being dominated by major powers, remarks widely interpreted as a critique of Washington’s approach under Trump.

Trade tensions extend beyond China

Canada has so far avoided the heaviest impact of Trump’s tariff campaign due to protections under the Canada-U.S.-Mexico Agreement, which governs most cross-border trade. That agreement is scheduled for review later this year, raising uncertainty for businesses on both sides of the border.

Despite this framework, several sectors remain exposed. Trump has already imposed tariffs on steel, aluminum, and other industrial goods, while threatening additional measures tied to national security and supply-chain resilience.

Canada remains the largest export market for the United States, with approximately $3.6 billion Canadian ($2.7 billion U.S.) in goods and services crossing the border daily. It supplies roughly 60% of U.S. crude oil imports and a significant share of electricity, steel, aluminum, and uranium.

China factor complicates North American alignment

Canada initially aligned closely with U.S. policy toward China, imposing a 100% tariff on Chinese electric vehicles and steep duties on steel and aluminum. Beijing retaliated with import taxes on Canadian agricultural exports, including canola, pork, and seafood.

As U.S.-China tensions intensified, Ottawa has sought limited engagement with Beijing to relieve pressure on domestic producers. Carney has acknowledged deep disagreements with China on human rights and security issues while arguing that selective economic engagement remains necessary.

The shift has created friction with Washington, where Trump has framed the issue in stark terms. In additional social media posts, the president warned that China would “devour” Canada economically, language that Canadian officials have dismissed as inflammatory.

Strategic and economic stakes remain high

Canada is a key supplier of critical minerals and metals that the U.S. Defense Department considers essential for national security and advanced manufacturing. Pentagon investments in Canadian mining projects underscore the depth of economic interdependence between the two countries.

LeBlanc said Ottawa remains committed to maintaining a stable trade relationship with Washington, emphasizing that any future agreements must benefit workers and businesses on both sides of the border.

For now, Trump’s tariff threat remains rhetorical, but it underscores how trade policy has become a central instrument of diplomacy — and confrontation — in North America’s most important economic relationship.