US President Donald Trump has once again targeted Canada, imposing a 35% tariff increase, the highest he has announced since the beginning of the week, and accusing Ottawa of retaliating against his trade measures.
In an email to Canadian Prime Minister Mark Carney published on Truth Social, Trump wrote, "Instead of cooperating with the United States, Canada has responded with its own tariffs. Effective August 1st, we will impose a 35% tariff on Canadian products exported to the United States."
Trump warned that these tariffs could be "adjusted, up or down, depending on our relationship with your country."
Carney revealed on Twitter Thursday evening that, "During the ongoing trade negotiations with the United States, the Canadian government has tirelessly defended our workers and companies. We will continue to do so as we prepare for the August 1st review deadline."
As with every letter sent to more than 20 countries since Monday, the US president indicated that these new tariffs would be in addition to those imposed on specific sectors, such as steel, aluminum, and automobiles.
The United States is Canada's largest trading partner.
Earlier today, Donald Trump revealed in a telephone interview with NBC that he planned to send a similar letter to the European Union "today or tomorrow."
He stated, "I'm discussing with the European Union, which, as you know, represents several countries, as well as with Canada. It should be sent in the next few hours."
He confirmed that countries that had not received his notifications would be subject to tariff increases ranging from 15% to 20%, without specifying whether these increases would be in addition to the 10% basic tariffs that have been imposed on most imports to the United States since April.
Canada and Mexico were the first victims of US tariff increases after Trump accused both countries of not doing enough to combat illegal immigration and the smuggling of fentanyl, a powerful opioid that is fueling a health crisis in the United States. The US president imposed 25% tariff increases on imported products from the two countries, before suspending a large portion of them.
Since then, Washington and Ottawa have been seeking to negotiate a trade agreement, but negotiations have been fraught between the two countries, neither of which wants to give the impression of giving ground on what is considered a matter of sovereignty.
In the latest chapter of this trade saga, Canada announced in late June that it would abandon its digital services tax, which was enacted in 2024 and was scheduled to take effect on July 1, after Trump suspended negotiations, describing the tax as a "direct and clear blow" to the United States.
These trade tensions have had an impact on actual trade between the two countries. The United States' share of Canadian exports fell to 68.3% in May, "one of the lowest rates ever recorded," according to Canadian authorities.
Since the beginning of the week, more than 20 countries, mostly in Asia, have received a message similar to that directed at Canada, with the announcement of 25% tariffs on products from partners such as Japan and South Korea. This rate has reached 40% for some Southeast Asian countries.
However, the highest rate announced is the one that may affect Brazil, which had not previously been targeted with tariffs above 10%, after Trump announced his intention to impose 50% tariffs on Brazilian products in retaliation for the prosecution of former Brazilian President Jair Bolsonaro, who is accused of orchestrating a coup against the state.
These new tariff increases were initially scheduled to take effect on July 9 after an initial postponement. However, earlier this week, Trump signed an order postponing their implementation until August 1.
The US president emphasized in his letters that any tariff retaliation would be met with an additional increase of the same percentage.
After steel, aluminum, and automobiles, and while announcements are expected regarding lumber, semiconductors, and pharmaceutical products, the US president announced on Wednesday a 50% tariff that will be applied to imported copper starting August 1
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