President Donald Trump signed orders Tuesday banning the import of Canadian alcohol, dairy, and motorcycles, escalating a trade dispute between the two nations.
The move comes hours after Canada imposed a 50% tariff on American clothing, cheese, metals, and wood.
An administration official stated that Canada set the precedent for banning goods, leading to the retaliatory measures. These import bans are expected to take effect in approximately three weeks. The official characterized Canada's actions, along with those of China, as a departure from typical tariff-based trade disputes, instead opting to ban specific items.
The trade tensions have intensified following Canadian Prime Minister Mark Carney's suspension of trade negotiations with the United States last month. This suspension led to a significant tit-for-tat escalation in trade policy.
Earlier, Trump had initiated the current round of tariffs by imposing a new 50% duty on $20 billion worth of Canadian goods. This included items such as beer, cheese, wine, hockey sticks, cement, and electronics. Furthermore, Trump had previously threatened to increase tariffs to 50% on all vehicles and automotive parts starting January 1, in addition to existing tariffs on Canadian steel.