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Trump threatens 100% tariffs if Canada signs a trade deal with China

President Trump posted on Truth Social that the U.S. would hit Canada with 100 per cent tariffs if Ottawa strikes a trade deal with China. The post follows last week’s EV agreement between Canada and Beijing.

Trump threatens 100% tariffs if Canada signs a trade deal with China
Trump threatens 100% tariffs if Canada signs a trade deal with China
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By Torontoer Staff

U.S. President Donald Trump warned on Saturday that the United States would impose 100 per cent tariffs on all Canadian goods if Canada reaches a trade deal with China. The comment appeared on Truth Social, and it comes days after Ottawa signed an agreement with Beijing to restore lower tariffs on some Chinese electric vehicles.
Trump framed the threat as a response to what he called a potential plan by Prime Minister Mark Carney to turn Canada into a “drop off port” for Chinese goods entering the U.S. The comment represents a sharp reversal from the president’s earlier public endorsement of the EV deal.

What Trump said

In a Truth Social post on Saturday morning, Trump wrote that if Carney intends to make Canada a conduit for Chinese imports into the United States, Ottawa is “sorely mistaken.” He added that China would “eat Canada alive, completely devour it, including the destruction of their businesses, social fabric, and general way of life.”

If Canada makes a deal with China, it will immediately be hit with a 100% Tariff against all Canadian goods and products coming into the U.S.A. Thank you for your attention to this matter!

Donald Trump, Truth Social
The Prime Minister’s Office and Dominic LeBlanc, the minister responsible for Canada-U.S. trade relations, did not immediately respond to requests for comment. It was not clear whether Trump’s reference to a “deal” meant last week’s limited EV arrangement or a broader, future trade pact between Ottawa and Beijing.

The Canada–China agreement at a glance

Last week, Ottawa and Beijing reached an agreement that reverses the 100 per cent tariffs Canada imposed on Chinese electric vehicles in 2024. Under the new terms, up to 49,000 Chinese EVs can enter Canada this year at a tariff rate of 6.1 per cent. China, in return, committed to reducing tariffs on Canadian canola, seafood and other agricultural products.
Beijing has already begun to act on the arrangement, placing orders for Canadian canola and beef. The agreement was part of a broader push by Carney to diversify Canada’s trading relationships as global trade patterns shift.

A rapid shift in tone from the U.S. president

The Truth Social post marks a rapid pivot from Trump’s initial remarks last Friday, when reporters at the White House asked about the EV deal. At that time, Trump praised Carney, saying a trade deal with China was a sensible move for Canada.

That’s what he should be doing. It’s a good thing for him to sign a trade deal. If you can get a deal with China, you should do that.

Donald Trump, White House remarks
The shift continued during Trump’s address at the World Economic Forum, where he reminded Carney of Canada’s economic ties to the United States, saying, “Canada lives because of the United States.” The change in tone raises questions about how U.S. rhetoric might affect Canada’s trade manoeuvring.

Why this matters for Canadian exporters

A threat of sweeping tariffs would heighten uncertainty for businesses that rely on cross-border supply chains. Canadian producers of agricultural goods, seafood and automotive components could face higher barriers if Washington followed through. Even the prospect of tariff threats can alter investment decisions and shipping patterns.
Carney has been travelling to secure new markets and reduce reliance on any single trading partner. In a recent address he argued that postwar rules and alliances have eroded and that Canada must adapt to a changed global trade environment.

The old order is not coming back. We should not mourn it.

Prime Minister Mark Carney

What comes next

Officials in Ottawa will need to weigh the benefits of deeper ties with China against the risk of antagonising the United States. Domestic consultations and further talks with both Washington and Beijing are likely. For now, the immediate result of the EV agreement is renewed Chinese purchases of Canadian agricultural exports, but the political backdrop remains fluid.
Observers will watch for formal diplomatic responses from both governments and any follow-up comments from the White House that clarify whether Trump’s post signals policy intent or campaign rhetoric. Business groups and exporters are also likely to seek guidance from trade ministers about contingency plans.
Canada’s next steps will shape how exporters, farmers and manufacturers position themselves amid competing pressures from its largest trading partner and a major global market. The immediate effect is increased uncertainty; the longer term impact will depend on how Ottawa balances trade diversification with maintaining stable relations with the United States.
Canada-US relationstradeDonald TrumpMark CarneyChinatariffsexports