President Donald Trump has announced plans to impose an additional 25 per cent tariff on steel and aluminum imports from Canada, intensifying trade tensions with one of the nation’s largest trading partners.
The levy is set to come into effect from Wednesday 12 March.
Trump wrote on his Truth Social platform on Tuesday: “I have instructed my Secretary of Commerce to add an ADDITIONAL 25 per cent Tariff, to 50 per cent, on all STEEL and ALUMINUM COMING INTO THE UNITED STATES FROM CANADA, ONE OF THE HIGHEST TARIFFING NATIONS ANYWHERE IN THE WORLD.”
Trump also said that if Canada did not drop its “long time” tariffs, he would “substantially increase” levies on cars coming into the US, a move he said would “essentially, permanently shut down” the country’s carmaking industry.
The move comes in response to Ontario Premier Doug Ford’s decision to impose a levy on electricity exports to the U.S.
Ford said: “Until the threat of tariffs is gone for good, we won’t back down.”
He added in a post on X, external that Trump had “launched an unprovoked trade and tariff war with America’s closest friend and ally”.
Trump said his tariffs would go into effect on Wednesday morning, and that he would declare “a national emergency on electricity” in those states.
He said if tariffs including those on agricultural products were not dropped, he would hike taxes on the car industry, “which will, essentially, permanently shut down the automobile manufacturing business in Canada”.
He wrote: “Canada must immediately drop their Anti-American Farmer Tariff of 250 per cent to 390 per cent on various U.S. dairy products, which has long been considered outrageous.
“I will shortly be declaring a National Emergency on Electricity within the threatened area.”
The trade wars have escalated following Ford’s announcement yesterday that he will increase electricity prices by 25 per cent for 1.5 million American homes and businesses in response to Trump’s initial 25 per cent tariffs.
Ontario supplies electricity to Minnesota, New York, and Michigan.
Ford stated during a news conference in Toronto: “If the United States escalates, I won’t hesitate to raise this charge further or even cut off electricity entirely.
“I take no pleasure in this decision—I feel for the American people, who did not start this trade war. There is only one person responsible: President Trump.”
Ford said Ontario’s tariff would remain in place despite the one-month reprieve from Trump, noting a one-month pause means nothing but more uncertainty. Quebec is also considering taking similar measures with electricity exports to the U.S.
