Canadian Prime Minister Mark Carney has expressed deep disappointment over President Donald Trump’s decision to raise tariffs on Canadian goods from 25 to 35 percent, amid rising diplomatic tensions between the two countries.
Carney’s reaction follows an executive order issued by Trump, which cited Ottawa’s alleged failure to curb the flow of illicit drugs — including fentanyl — and what Washington called “retaliation” over prior US measures. The order comes just weeks after Canada announced it would support Palestinian statehood at the UN General Assembly in September, drawing sharp criticism from the White House.
In a statement released on Friday, Carney said:
“The Canadian government is disappointed by this action.”
He defended Canada’s efforts in combating drug trafficking, noting that:
“Canada accounts for only one percent of US fentanyl imports and has been working intensively to further reduce these volumes.”
While many goods under the 2020 United States-Mexico-Canada Agreement (USMCA), also known as CUSMA in Canada, remain unaffected by the hike, Carney acknowledged that other critical sectors are being hurt.
“Other sectors of our economy — including lumber, steel, aluminum and automobiles — are, however, heavily impacted by US duties and tariffs,” he added.
Despite the setback, Carney reaffirmed Ottawa’s commitment to the trilateral trade deal, stressing that the agreement ensures the US average tariff rate on Canadian goods remains among the lowest for its trading partners.
The tariff increase marks a further strain in cross-border relations, with analysts warning that it could disrupt key industries and rekindle broader trade tensions ahead of the US presidential elections.
