Trump Imposes 50% Tariffs on Canadian Goods Amid Escalating Trade War

President Donald Trump's trade war with Canada has been ongoing since his second term in office. He initially threatened to impose 25% tariffs on imports from Canada, invoking a national emergency over undocumented immigration and drug trafficking. The president later signed an executive order imposing these tariffs starting February 4, 2025.

However, the tariffs were soon put on hold after a 30-day pause was agreed upon, with limited tariffs imposed in March 2025. Canada's Prime Minister Justin Trudeau had promised retaliatory levies, but they were eventually implemented only after Trump rolled out exemptions for automakers and postponed the 25% tariff on US-Mexico-Canada Agreement-compliant goods.

Throughout the year, tensions continued to escalate as Trump imposed various tariffs worldwide, including a new 50% levy on imported copper in August 2025. Canada's Prime Minister Mark Carney matched these levies with retaliatory tariffs worth $20.7 billion, citing the effects of Trump's tariffs on its economy.

Despite temporary reprieves and negotiations, trade tensions continued to simmer until November 2025, when a Supreme Court ruling struck down Trump's use of emergency powers to impose tariffs. However, this decision was met with swift action as Trump enacted a new 10% global levy using a different law.