The United States will impose a sweeping 35% tariff on all imports from Canada starting August 1, according to a letter from President Donald Trump to Canadian Prime Minister Mark Carney, released on social media. The action escalates tensions following Canada’s earlier retaliation against US tariff threats in the spring. Trump cited the alleged smuggling of fentanyl into the US from Canada as the primary reason for the measure, stating the tariff could be adjusted if Canada cooperates on stopping the flow.
This blanket tariff is distinct from sector-specific duties, including a newly announced 50% tariff on copper imports. It remains unclear whether imports under the US-Mexico-Canada Agreement (USMCA) will be exempt from the new measures.
The announcement follows a series of aggressive trade moves by the Trump administration since April 5, including a 10% “Liberation Day” tariff on most goods from foreign partners, excluding energy commodities and critical minerals. Although Trump approved higher tariffs on April 9, they were delayed multiple times, most recently by an executive order signed on July 7.
In a separate development, Trump threatened 50% tariffs on Brazilian goods in response to the country’s legal proceedings against former president Jair Bolsonaro.