Washington, DC: President Donald Trump on Thursday (Local Time) announced that the United States will impose a 35% tariff on goods imported from Canada, escalating trade tensions with Washington’s northern neighbour. The decision, Trump said, comes in response to Canada’s alleged failure to stop the flow of fentanyl into the U.S.
In a letter addressed to Canadian Prime Minister Mark Carney and posted on his platform Truth Social, Trump said the tariff would take effect on Aug. 1, 2025.
“As you will recall, the United States imposed Tariffs on Canada to deal with our Nation’s Fentanyl crisis, which is caused, in part, by Canada’s failure to stop the drugs from pouring into our Country,” Trump wrote. “Instead of working with the United States, Canada retaliated with its own Tariffs.”
Trump warned that goods transshipped through third countries to evade the new tariffs would still be subject to the 35% rate. However, he added that Canadian businesses could avoid the levy by moving manufacturing to the U.S.
“We will do everything possible to get approvals quickly, professionally, and routinely—in other words, in a matter of weeks,” he said.
The president also threatened to raise tariffs further if Canada imposes retaliatory duties on American goods. Trump criticized Canada’s steep tariffs on U.S. dairy exports—claiming rates as high as 400%—and called the ongoing trade deficit a threat to American national security.
“I must mention that the flow of fentanyl is hardly the only challenge we have with Canada,” he wrote. “The Trade Deficit is a major threat to our Economy and, indeed, our National Security.”
Trump signalled that the tariffs could be reviewed depending on Canada’s future cooperation. “If Canada works with me to stop the flow of fentanyl, we will, perhaps, consider an adjustment to this letter,” he said.
Tariffs Rolled Out Across Multiple Countries
The announcement follows a series of similar moves this week targeting imports from Brazil and seven other countries.
On Wednesday, Trump imposed a 50% tariff on Brazilian imports and denounced the trial of former Brazilian President Jair Bolsonaro as a “witch hunt.”
In addition, Trump announced new tariffs on imports from Sri Lanka, Algeria, Iraq, Libya, the Philippines, Moldova and Brunei—all set to take effect on Aug. 1, 2025:
- 30% on imports from Sri Lanka, Iraq, Algeria and Libya
- 25% on goods from Moldova and Brunei
- 20% on imports from the Philippines
In each case, Trump warned that any retaliatory tariff increases would be met with equal U.S. responses.
“There has been no change to this date, and there will be no change,” Trump wrote in a Truth Social post. “All money will be due and payable starting August 1, 2025—no extensions will be granted.”
Earlier this week, the White House released letters sent to 14 other nations—including Japan, South Korea, Malaysia and South Africa—informing them of new reciprocal tariffs set to take effect the same day.
The moves underscore Trump’s aggressive “America First” trade policy and signal a renewed focus on tariffs as a central pillar of his economic agenda during his current term.
