President Trump Implements New Directive Raising Duties on Imported Canadian Products by 10%

On Thursday, President Donald Trump signed an executive order increasing tariffs on certain Canadian goods imported to the United States. The new rates will be effective on Friday, according to a White House fact sheet, and will cover all products not included in the US-Mexico-Canada trade agreement. Goods transshipped to avoid the new tariffs will be subject to a transshipment levy of 40%. This decision follows months of tariff threats and escalating trade tensions with Canada, causing anger among its citizens. The announcement came just hours before a deadline Trump had set for countries to reach a trade agreement with his administration. The increase in tariffs was reportedly due to Canada’s failure to address the public health crisis caused by fentanyl and illicit drugs entering the United States from its northern border. However, Trump also mentioned that he may not strike a deal on tariffs as punishment for Canada’s decision to recognize the state of Palestine. Canadian officials argue that only a small amount of fentanyl originates from their country and have taken measures to strengthen their border. The Canadian Prime Minister, Mark Carney, stated that trade talks have been constructive but may not conclude by the deadline.

Source: https://www.theguardian.com/us-news/2025/jul/31/trump-canada-tariffs-order