US President Donald Trump says he is raising tariffs on all Canadian cars, trucks, auto parts, and steel to 50% starting in 2027. Trump’s latest tariff threat would double top-line U.S. tariffs on Canadian auto imports, which currently sit at 25%. A trade deal between the US and Canada fell through again last week, but Trump believes that Canada continues to “rip us off.”
JUST IN:
— Watcher.Guru (@WatcherGuru) August 24, 2026President Trump raises tariffs on all Canadian cars, trucks, auto parts, and steel to 50% starting 2027.
“Canada has been ripping off the United States of America for years,” Trump wrote in a Truth Social post, accusing the long-time trading partner of hurting U.S. farmers through its own tariff policies. “Not sustainable, and NOT ANYMORE!” he wrote. “On January First, 2027, Tariffs on all Cars, Trucks, both large and small, Automotive Parts, and Steel, will be increased to 50%.”
On Saturday, the U.S. imposed 50% tariffs on about $20 billion of Canadian goods, including wine, cement, hockey sticks, and other products. Those duties were imposed in retaliation for alleged Canadian trade discrimination against U.S. cars, alcohol, and dairy.
In response to the tariff threat, Ontario Premier Doug Ford threatens to cut off electricity and critical minerals to the US if the trade war with Canada worsens. Trump has long accused Canada of taking advantage of the US, including its defence protections, and recently called Canadian negotiators “nasty”. From 2024 to now, Trump has implemented sweeping tariffs on Canada and Mexico, accusing both of allowing fentanyl and illegal immigration to flow across the borders, which many in Canada felt was unjustified.
JUST IN:
— Watcher.Guru (@WatcherGuru) August 24, 2026Ontario Premier Doug Ford threatens to cut off electricity and critical minerals to the US if the trade war with Canada worsens.
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The trade war between Canada and the US doesn’t appear to be closing anytime soon, and it will continue to affect several important industries, from automotive to electricity and minerals. On the stock market, the S&P 500 and Nasdaq indexes took a hit Monday following the Tariff announcement.
