Trump escalates trade clash with Canada, threatens 50% tariffs on autos and steel

The trade conflict between the United States and Canada intensified Monday, with former President Donald Trump issuing new threats against Canadian steel and car imports. The escalating dispute, marked by escalating tariffs and verbal attacks, has seen relations sour significantly since Canadian Prime Minister Mark Carney abruptly ended trade talks Friday.

Trump, who initiated the trade offensives, asserted on his Truth Social network that Canada has been exploiting American generosity for years. He declared that as of January 1, 2027, all cars, trucks, and auto parts, along with steel, imported from Canada would face a 50% tax. While much Canadian steel already faces a 50% tariff, Washington had previously suggested a reduction in exchange for a trade truce.

Canada, in turn, accused the U.S. of demanding too much while offering too little. Prime Minister Carney stated that his country would not accept a trade deal "at any price" or "within any timeframe." He highlighted that during negotiations, the Americans presented unfair proposals aimed at dismantling key Canadian industries like automotive, steel, and aluminum, which he described as a primary reason for Canada's refusal.

Adding to the verbal sparring, U.S. Vice President JD Vance lamented "unreasonable last-minute demands" from the Canadian side. Meanwhile, Ontario Premier Doug Ford criticized Trump, telling him to "go to hell" and that he should be "run over." Trump responded on Truth Social, suggesting someone should "put these clowns in their place."