US President Donald Trump has signed three proclamations introducing an additional 50% tariff on a range of Canadian goods.
The administration says the move is intended to counter what it calls discriminatory treatment of American products by Canada.
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The proclamations, issued under Section 338 of the Tariff Act of 1930, target Canadian conduct in the automotive, alcohol and dairy sectors.
Each proclamation applies the 50% duty to a separate category of Canadian imports, with affected products including wine, hockey sticks and cement.
The new duty will apply to all goods covered by the proclamations, regardless of whether they would otherwise qualify for preferential treatment under the US-Mexico-Canada Agreement (USMCA).
Certain categories have been excluded from the measure, among them energy, potash, items already subject to Section 232 tariffs, and select other goods such as fish and critical minerals.
The tariffs are due to come into force 30 days from the date of signing (20 July).
According to the administration, Canada applies tariffs and quotas to US-manufactured vehicles that are not imposed on cars from other countries and manages these quotas in a manner that encourages American automakers to direct investment towards Canadian production over US-based manufacturing.
The administration cited a roughly 22%, or $5.6bn, decline in Canadian imports of US motor vehicles between April 2025 and March 2026, compared with the equivalent period the previous year, adding that vehicle imports from other countries had filled the shortfall.
The White House also stated that all but two Canadian provinces and territories have suspended the purchase, distribution or sale of American alcoholic beverages, while not applying comparable restrictions to products from other countries.
The administration further noted that, over the past eighteen months, Canada and China have been the only two countries to respond to US tariffs with retaliatory measures rather than pursue a negotiated settlement.
The White House positioned the tariffs as part of its broader America First Trade Policy, under which the US has declined to renew the USMCA in its existing form.
It added that its tariff policy has so far resulted in 18 agreements providing new market access for American exporters.
Responding to the proclamations, Canada’s Prime Minister Mark Carney 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. 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 announcement follows Trump’s statement last month that he would not seek to extend the USMCA, a move that set in motion the annual review process for the trilateral trade agreement.
