Trump Orders 50% Tariff on Several Canadian Imports, Trade Tensions Set to Rise

US President Donald Trump has ordered a new 50% tariff on several products imported from Canada. The Trump administration invoked Section 338 of the Tariff Act of 1930 to implement the measure. According to available information, this is the first time a US president has used this provision to impose tariffs. The White House said the new tariff will come into effect 30 days after the announcement. However, energy products, potash, and goods already covered under sector-specific tariffs have been exempted from the new measure. In addition, several products covered under the United States-Mexico-Canada Agreement (USMCA) will now also fall within the scope of the newly announced tariff. Defending the decision, President Trump alleged that Canada has treated American wine, automobiles, and dairy products unfairly, making the tariff action necessary. Trade experts believe the move could further escalate trade tensions between the United States and Canada, with potential consequences for businesses and consumers in both countries. Reacting to the development, Canadian Prime Minister Mark Carney said his government is prepared to accelerate discussions with the United States. He also alleged that the US had previously imposed unilateral tariffs in violation of the USMCA, while Canada had only responded to those measures.