The United States has imposed an import ban on Canadian motorcycles, dairy products and alcoholic beverages as the trade dispute between the two nations intensified, the White House said Tuesday.
The ban takes effect Sept. 29 and covers beer, wine and whisky, among other goods. The US also slapped 50 percent tariffs on additional Canadian products including cheese, paper, aluminum and furniture.
The measures came after Ottawa enacted $20 billion in retaliatory tariffs on US goods just before midnight, responding to previous US tariffs of 50 percent on Canadian merchandise of comparable value imposed last month after negotiations broke down. Canadian duties ranging from 15 to 50 percent target steel, furniture and electronics, government officials said, aiming to exert economic and political pressure on Washington ahead of the November midterms.
Canadian Prime Minister Mark Carney urged a shift away from reliance on the largest trading partner. "We have everything we need to reorient and thrive," he said in a video message.
A US government official said President Donald Trump's threat remains on the table to increase tariffs on Canadian autos to 50 percent by Jan. 1.
Trade officials from both sides maintain contact. US Trade Representative Jamieson Greer and Canadian Minister of Intergovernmental Affairs Dominic LeBlanc are in discussion seeking a way out, according to reports.
Meanwhile, Trump escalated rhetoric through his Truth Social platform. He directed the General Services Administration to remove Canadian products from its procurement catalogs and warned aerospace manufacturer Bombardier against a US sales ban unless it manufactures domestically. Bombardier shares fell more than 6 percent on the Toronto Stock Exchange following the announcement.
