Trump’s latest trade move sends a strong message to Canada

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Former U.S. president Donald Trump has accused Canada of unfair trade practices, claiming the country has been “ripping off” the United States for years with high tariffs on American lumber and dairy products. Speaking from the Oval Office on Friday, Trump warned that unless Canada removes these tariffs, he will impose equivalent restrictions on Canadian exports.

This move comes as Trump’s administration re-evaluates trade policies with North American partners. Just a day earlier, Trump announced a temporary delay on new 25% tariffs for Mexican and Canadian exports, citing negotiations and economic concerns.

A U.S.-Canada border sign sits at the border in Blaine, Washington, March 5, 2025. U.S. President Donald Trump said Friday that Canada has been "ripping off" the U.S. for years with tariffs on lumber and dairy products and threatened to place reciprocal tariffs on Canada.
A U.S.-Canada border sign sits at the border in Blaine, Washington, March 5, 2025. U.S. President Donald Trump said Friday that Canada has been “ripping off” the U.S. for years with tariffs on lumber and dairy products and threatened to place reciprocal tariffs on Canada.

The U.S.-Canada trade dispute

Trump expressed frustration over Canada’s “tremendous tariffs,” arguing they have made it nearly impossible for American companies to compete in the Canadian market. His comments signal a renewed focus on balancing trade relationships, particularly in industries like lumber and dairy, which have long been points of contention between the two nations.

While some analysts view this as a strategic negotiation tactic, Canadian officials have yet to respond publicly to Trump’s remarks.

Tariff delays and Mexico’s role

Trump also highlighted discussions with Mexico, stating that he postponed tariffs on Mexican exports after a direct conversation with Mexican president Claudia Sheinbaum. According to Trump, Sheinbaum assured him that Mexico is actively working to curb illegal migration and the flow of fentanyl into the United States.

Additionally, Trump recently delayed tariffs on vehicle imports from both Canada and Mexico following warnings from the three largest U.S. automakers about the financial consequences of such measures.

Trump’s stance on global trade

Beyond North America, Trump also took aim at India, claiming that the country imposes “massive tariffs” on U.S. goods. However, India’s foreign ministry responded by stating that both countries are working on a bilateral trade agreement aimed at reducing tariffs and strengthening supply chain cooperation.

As Trump continues to shape his trade policies, the global market is watching closely to see how his decisions impact key industries and international relationships.

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