U.S.-Canada Tariff Dispute Escalates
Sourse: dairynews.today
President Donald Trump announces increased tariffs on Canadian products in response to Canada's retaliatory measures.
President Donald Trump declared an increase in tariffs for Canadian products not covered by the USMCA from 25% to 35%, effective August 1. This decision follows Canada's earlier response to U.S. duties by imposing tariffs on $22 billion worth of American exports, including consumer goods like orange juice and beer.
Trump's administration highlighted that while energy products and potash will remain at a reduced 10% tariff, no final decision on the increase has been made. The tensions arose from the U.S. addressing its Fentanyl crisis and Canada's retaliatory tariffs. Trump expressed concerns about high Canadian tariffs hindering American dairy farmers, citing potential rates reaching 400% and limited market access.
Although U.S. border seizures of drugs show lower numbers at the northern border compared to the southern, Trump has warned of reciprocal tariff increases if Canada hikes its tariffs. He stressed the possibility of tariff reductions if Canada aids in controlling Fentanyl trafficking. Amidst this tariff war, Trump also issued threats of new tariffs against Brazil, maintaining a firm stance on trade negotiations worldwide.
Trump's administration highlighted that while energy products and potash will remain at a reduced 10% tariff, no final decision on the increase has been made. The tensions arose from the U.S. addressing its Fentanyl crisis and Canada's retaliatory tariffs. Trump expressed concerns about high Canadian tariffs hindering American dairy farmers, citing potential rates reaching 400% and limited market access.
Although U.S. border seizures of drugs show lower numbers at the northern border compared to the southern, Trump has warned of reciprocal tariff increases if Canada hikes its tariffs. He stressed the possibility of tariff reductions if Canada aids in controlling Fentanyl trafficking. Amidst this tariff war, Trump also issued threats of new tariffs against Brazil, maintaining a firm stance on trade negotiations worldwide.
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