US enforces 50% tariffs on Canada

U.S. President Donald Trump imposed a 50% customs duty on most Canadian goods, claiming it was in response to unfair discriminatory practices against American products such as cars, alcoholic beverages, and dairy. This move comes as part of escalating trade tensions between the two countries, following retaliatory measures by Canada and others in response to previous tariffs imposed by Trump. The new tariffs include some items that were previously exempt under the United States-Mexico-Canada Agreement (USMCA), which recently ended, opening the door to negotiations until 2036. This increase is seen as an opportunity to intensify a trade war, posing significant risks to both the U.S. and Canadian economies—especially with the upcoming midterm elections and their potential impact on markets.

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