The tone has once again risen from the side of the White House. The crisis between the United States and Canada, launched for several days in an escalation of customs duties and verbal attacks, worsened on Monday, August 24, with new threats from Donald Trump targeting steel and cars imported from Canada.
Canada will not accept a trade agreement “at any price” with the United States, replied Prime Minister Mark Carney.
After the spectacular breakup Friday evening by the Canadian Prime Minister of discussions with a view to a trade compromise, the tone has continued to rise between the two neighbors and economic partners
US customs duties on cars, trucks, auto parts and steel produced in Canada will be increased to 50% starting January 1, 2027, Donald Trump said Monday in a message posted on social media after the failure of trade negotiations with Ottawa.
“Manufacture in the United States and you will benefit from ZERO CUSTOMS DUTIES. Canada will no longer be treated as a state!”, wrote the American president. “In terms of trade, but also in many other respects, they are among the most difficult nations to deal with in the world. They think they can do anything, and yet WE DON’T NEED CANADA, THEY NEED US!”
See alsoIn the absence of an agreement, Canada faces new punitive US customs duties
“Canada has been stripping the United States of America for years,” assured the American president on his Truth Social network, affirming that from January 1, 2027, “all cars, trucks, large and small, auto parts and steel will have their taxes increased to 50%” – even though Canadian steel entering the United States is already subject to a customs duty of up to 50%.
Canada immediately announced that it would impose customs duties on $25 billion in American products starting September 8 in retaliation for the 50% duties ordered by Donald Trump on a little more than 5% of Canadian exports to the United States.
Excessive customs duties
Ottawa criticized the United States for “asking too much and offering too little”, while accusing Washington of attacking, through some of its demands, the status of the French language, a politically sensitive subject in this officially bilingual country.
The escalation of customs duties follows the failure on Friday evening of discussions carried out for weeks to try to find a commercial compromise between the two neighboring countries.
The details of these negotiations are technical, and the customs tax systems multiple between the two countries.
The majority of Canadian products are exempt from American customs duties thanks to the free trade agreement with the United States and Mexico (CUSMA), but surcharges imposed by Donald Trump since last year have already had a strong impact on certain strategic sectors such as aluminum, steel or the automobile industry.
Canadian Prime Minister Mark Carney decided to break off negotiations just before an ultimatum from the White House expired.
With AFP
