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Tue, July 21, 2026

Canada vows to support people, businesses as US imposes 50 pc tariffs on Canadian goods

B360
B360 July 21, 2026, 8:20 pm
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OTTAWA, CANADA: Canadian Prime Minister Mark Carney said on Tuesday (local time) that the country “would continue to support its people and businesses”, shortly after US President Donald Trump imposed tariffs on selected Canadian goods in the dairy, alcoholic beverages and motor vehicle sectors.

“This is the latest in a series of unilateral US trade actions that began with the US imposing a series of tariffs in direct violation of the Canada‑United‑States‑Mexico Agreement (CUSMA), the free trade agreement between Canada, the United States, and Mexico,” Carney said in a statement posted on X.

“These include tariffs on the Canadian auto sector, in violation of CUSMA. Canada, as is its right, has merely matched those measures,” he added.

The prime minister said that “in response to these measures and threats to Canadian sovereignty, provinces, territories — Canadians from coast to coast to coast — have stood together, taking the necessary actions to support our economy and defend our workers, farmers, businesses, and families.”

“Recognising that the US has been transforming all of its trade relationships, including those covered under CUSMA, over the past 18 months, Canada has made a series of detailed and comprehensive proposals to resolve this dispute and to modernise CUSMA. We stand ready to intensify those discussions in the coming weeks,” Carney said.

Underlining that Canada believes in the benefits of “free and fair trade”, he said: “Canada believes in the benefits of free and fair trade, as evidenced by our new government signing more than 20 new economic and security partnerships. This trade dispute has raised costs for families, particularly in the US. Canada stands ready to engage intensively to address outstanding issues with the US to the mutual benefit of our citizens.”

Carney added: “In all circumstances, Canada will work relentlessly and take any measures necessary to build our strength at home and to support Canadian workers, farmers, businesses, and families.”

The statement followed an announcement by the United States on Monday (US local time) of an additional 50% tariffs on certain Canadian goods, which it said were a response to the “discriminatory treatment” of American products in the motor vehicle, dairy and alcoholic beverages sectors. The tariffs are set to take effect 30 days after the proclamations are signed by Trump.

By agencies

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