Trump threatens 100% tariffs on Canada in case of commerce take care of China | EUROtoday

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“If Mark Carney thinks he’s turning Canada into a warehouse for China to send its goods to the United States, he’s sadly mistaken.” Donald Trump entrusts Truth, the social media platform he owns, with the new assault launched on Canadian Prime Minister Mark Carney. The US president then added: «China will utterly devour Canadadestroying its companies, its social material and its life-style generally.”

From the start of his second term in 2025, the Trump administration has adopted protectionist measures and additional tariffs on Canadian and Mexican productswith suspensions, counterduties and controversies linked to the “United States–Mexico–Canada Agreement” (USMCA), the commercial agreement that regulates the vast exchange of goods and services between the three countries.

A new agreement with the Chinese giant

The spark of the last clash was one Carney’s historic visit to Beijingthe first by a Canadian prime minister since 2017, during which the two countries have reached an agreement to reduce mutual duties on some categories of goods. «I’m going to Beijing. China is our second largest trading partner and the second largest economy in the world,” Carney wrote in X. “A pragmatic and constructive relationship between our countries will create greater stability, security and prosperity on both sides of the Pacific,” he added.

According to the agreements announced, China has agreed to reduce tariffs on Canadian canola breast and other agricultural productsWhile Canada has lowered some tariffs on Chinese electric vehiclesgoing from extremely high levels (up to 100%) to subsidized rates of around 6.1%.

In extra element, in a primary section Ottawa will permit as much as 49,000 electrical automobiles produced in Beijing to enter its market making use of a tariff of 6.1%, in keeping with the “most favored nation” regime (the cardinal rule of the World Trade Organization whereby a State applies to a accomplice the identical extra favorable tariff situations granted to some other). A transparent discontinuity in comparison with the 100% obligation launched in 2024 by the earlier authorities led by Justin Trudeauwithin the wake of the restrictive measures adopted by the United States. For comparability – he factors out Reuters – in 2023, Chinese exports of electrical automobiles to Canada stopped at 41,678 models.