Canada Races to Block 50% US Tariffs on $20 Billion Exports Before Midnight
Updated
Updated · Financial Times · Aug 18
Canada Races to Block 50% US Tariffs on $20 Billion Exports Before Midnight
3 articles · Updated · Financial Times · Aug 18
Summary
$20 billion of Canadian exports face new 50% US tariffs at midnight Eastern time, despite Prime Minister Mark Carney’s last-minute call with President Donald Trump on Tuesday.
Washington says Canada discriminates against US businesses—citing dairy, procurement and provincial bans on American wine and spirits—while Ottawa has offered targeted concessions and sought relief from existing auto, steel, lumber and aluminum levies.
Canadian officials signaled little optimism, and business groups warned the new duties would deepen strain already seen in autos, while hitting wood products and raising costs for US builders and homebuyers.
The tariff threat escalates an on-off trade fight between close trading partners and tests Carney’s pledge to shield Canada’s economy from Trump’s shifting trade policy.
Trump is pursuing the move under Section 338 of the 1930 Tariff Act after the US Supreme Court struck down the emergency powers he had used for broader global tariffs.