U.S. President Donald Trump has intensified the trade dispute with Canada, moving to prohibit imports of certain Canadian motorcycles, dairy products and alcoholic beverages as tensions between the two countries continue to rise.
The new import restrictions are scheduled to take effect on Sept. 29 and follow Canada’s implementation of retaliatory tariffs on approximately US$20 billion worth of American goods.
The Trump administration says the measures are intended to counter what it describes as Canada’s continued discriminatory treatment of American exports, particularly in the dairy, alcohol and motor vehicle sectors.
Under the latest action, certain Canadian products that had previously faced additional 50 per cent tariffs will instead be barred from entering the U.S. market. The administration is using Section 338 of the Tariff Act of 1930 as the legal basis for the restrictions.
Washington is also modifying the list of Canadian products subject to tariffs. Some goods, including rock salt and cement, are being removed from the additional tariff regime, while other products are being added. Those changes are scheduled to take effect Sept. 15.
U.S. Trade Representative Jamieson Greer blamed Canada for the escalation, saying Ottawa walked away from what Washington considered a near-final trade agreement and instead proceeded with retaliatory measures.
Greer described the latest U.S. restrictions as a consequence of Canada’s approach to American exports and said the administration intends to protect U.S. workers, farmers and manufacturers.
The measures represent another significant escalation in a trade relationship that has deteriorated sharply in recent weeks, with both governments imposing new economic restrictions and accusing the other of unfair treatment.
Despite the mounting tensions, officials have indicated that the possibility of renewed negotiations remains open as businesses and political leaders on both sides of the border warn about the economic consequences of a prolonged dispute.
