Marthio Marthio
Policy & RegulationEconomy

Trump bans Canadian alcohol and imposes 50% tariff on other goods effective September

The US president signed an order prohibiting imports of Canadian alcohol and dairy products starting September 29 while adding a 50% surcharge to other items from September 15. Canada Prime Minister Mark Carney responded by citing retaliatory tariffs already imposed on $27.6bn in US goods.

The United States president signed an executive order late Tuesday that targets Canadian products, initiating fresh trade restrictions against Ottawa. The new rules prohibit the import of various alcoholic beverages and dairy items such as whey, with these prohibitions taking effect on September 29. Simultaneously, a separate order imposes a 50% surcharge on a broad range of goods including mattresses, motorboats, and golf carts, starting September 15.

Canadian Prime Minister Mark Carney defended his nation's position in a video address, stating that pivoting economic ties toward the United States would incur costs but acknowledging these benefits outweigh the pain. He argued that remaining inactive carried a higher cost than taking action. In response to recent duties announced by Washington on August 22, Canada applied retaliatory tariffs earlier that Tuesday. These measures affect C$27.6bn (€17.1bn) in US imports, specifically targeting steel, aluminium products, and dairy goods like cheese.

AlcoholTariffsMark carneyTrade warUnited statesCanadaCanadian prime ministerExecutive orderDairy products