U.S. President Donald Trump is threatening new 50 per cent tariffs on nearly $20 billion US worth of Canadian exports, as trade tensions between the two countries continue ahead of CUSMA negotiations.
The CBC reports the tariffs, announced through presidential proclamations, are set to take effect Aug. 19 and would target hundreds of Canadian products. The move is being viewed as pressure on Canada to make trade concessions before changes to the North American trade agreement are discussed.
U.S. officials cited concerns over Canadian restrictions on American alcohol products, dairy market access and limits on some U.S. vehicle exports.
The tariff list includes products such as Canadian wine, whisky and dairy goods, along with items including hockey equipment, candles and plastic cups.
Crude oil, potash and critical minerals are exempt, avoiding potential impacts on energy prices and key U.S. industries. The proposed tariffs would apply even to goods that currently qualify for CUSMA exemptions.
