Trump says to double tariffs on Canada autos as trade fight heats up

Donald Trump said on Monday that he will raise levies on Canadian cars and trucks to 50 per cent from the start of 2027, according to Dawn. He posted the change on Truth Social, and it would extend to automotive components and steel as well. The announcement came as the two neighbours edged toward an escalating trade dispute, days after their talks failed to produce a deal.

The current American duty on Canadian vehicles is 25 per cent for non-US content, while steel imports to the United States generally face 50 per cent. Trump's latest warning followed a Friday breakdown in talks aimed at averting new 50 per cent tariffs on selected Canadian goods, which took effect on Saturday. Prime Minister Mark Carney then announced retaliatory tariffs on US steel, dairy and other goods starting September 8, after suspending trade talks and calling the offer a bad deal.

Trump also accused Canada of exploiting America for years, claiming the US did not need its northern neighbour. In a Monday interview with CBS, Greer said no further negotiations had been scheduled, and the USMCA pact still needs revisions which Trump has not agreed to renew as it stands.