Canadian Prime Minister Mark Carney on Friday expressed disappointment over U.S. President Donald Trump’s decision to raise tariffs on Canadian goods to 35 percent, escalating trade tensions between the two countries.
The increase, announced via executive order, comes after Ottawa disclosed plans to support Palestinian statehood at the United Nations General Assembly in September—a move that drew sharp warnings from Washington.
While goods covered under the 2020 United States-Mexico-Canada Agreement (USMCA) remain largely exempt, the tariff hike applies to a broad range of other Canadian exports.
“The Canadian government is disappointed by this action,” Carney said in a statement, adding that Canada remains committed to its USMCA obligations.
Trump’s order cited Canada’s alleged lack of cooperation in curbing the influx of fentanyl and other illicit drugs, as well as retaliatory trade measures.
Carney defended Canada’s record on border control and drug enforcement. “Canada accounts for only one percent of U.S. fentanyl imports and has been working intensively to further reduce these volumes,” he said.
He also acknowledged the impact of U.S. duties on sectors such as lumber, steel, aluminum, and automobiles, despite the country’s overall low average tariff rate on Canadian goods.
