Trump threatens 50% tariffs on Canadian cars and auto parts, after breakdown in trade talks

Donald Trump has threatened to increase tariffs on Canadian cars, trucks, auto parts and steel to 50% today, after trade negotiations between Washington and Ottowa broke down last week.

On Truth Social, the president blasted Canada, and said the new duties will go into effect on 1 January 2027. “On Trade, and in other ways, also, they are among the worst Nations in the World to deal with. They feel entitled, and yet, WE DON’T NEED CANADA, THEY NEED US!” Trump wrote.

This latest escalation comes after Canadian prime minister Mark Carney rejected the latest deal on Saturday, after Trump previously slapped a 50% tariff on $20bn worth of Canadian exports – ranging from hockey equipment to electronics.

Carney said the Trump administration’s final demands went too far: “They asked too much and offered too little.”

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During his remarks today at a manufacturing facility in Brewer, Maine, Vice President JD Vance referred to Canada “a state” before noting “sorry, Freudian slip” as the audience laughed.

Vance went on to critique Canada, saying that it is a “country that has underinvested in its military that quite literally would get invaded by a foreign country, were it not for the umbrella of protection provided by the United States of America”.

Since Trump’s return to the White House last year, Trump has discussed making Canada the US’s 51st state, which has enraged many Canadians. A petition to expel the US ambassador to Canada, accusing him of normalizing the notion of the US annexing Canada, has collected about 248,000 signatures.

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