Washington. U.S. President Donald Trump has threatened to impose a 100 percent tariff on Canadian goods if the country moves forward with a trade deal with China, warning that such a deal would endanger Canada’s economy.
Trump, in posts on Truth Social, said China would “eat Canada alive, completely devour it, including the destruction of their businesses, social fabric, and general way of life.” He added that any deal with China would trigger immediate tariffs on all Canadian products entering the United States.
Canadian Prime Minister Mark Carney, who recently travelled to China to reset bilateral relations and reached a trade deal with Canada’s second-largest trading partner, urged citizens to focus on buying domestic products but did not directly mention Trump’s tariff threat.
“With our economy under threat from abroad, Canadians have made a choice to focus on what we can control,” Carney said. “We can’t control what other nations do; we can be our own best customer.”
The U.S.-Canada tensions escalated after Carney criticized Trump’s interest in Greenland and called on nations at the World Economic Forum in Davos, Switzerland, to respect a rules-based global order. He highlighted how “middle powers” must act together to avoid being dominated by larger countries.
Trump responded, accusing Canada of attempting to use its country as a “drop-off port” for Chinese goods into the U.S., and warned that China taking over Canada “is NOT going to happen.”
If implemented, the tariff would increase U.S. duties on Canadian products, affecting key sectors such as metal manufacturing, autos, and machinery. Canadian officials, however, have stressed that relations between the two countries remain important, with Carney asserting that Canada thrives because of its own efforts.
The Canadian Chamber of Commerce called for a swift understanding between the two governments to ease uncertainty for businesses affected by the escalating tensions.
