For decades Canada and U.S. trade relationship was built on mutual benefit. This has now turned into a high-stakes economic and political standoff.
This renewed relationships has stunned economist and political analysts. Lately, President Trump has been imposing tariffs ranging from 25%, 30%, and 50% on all Canadian Imports that are non-CUSMA. President Trump keeps harping on the reason for tariffs is because of Border Security concerns, and ongoing Fentanyl crisis. Secondly he wants Canada to relax Supply Management for Canadian Dairy and Lumber.
This trade war between U.S. and Canada is currently in a much volatile phase.
President Trump wants to secure Canada’s borders and doing more to combat the flow of fentanyl into the United States. Canada has already taken steps to curb illicit drug trafficking. However, U.S. officials keep claiming Canada hasn’t gone far enough to curb these serious issues. Commerce Secretary Howard Lutnick adds, “We’re done waiting. If Canada wants access to the U.S. market, they need to show real action on border security.”
Canadian Prime Minister Marc Carney and his administration will be meeting during the week of July 14, 2025 and later followed by all Premiers meeting to better respond to President Trump’s claims and how to best retaliate without causing more animosity with our neighboring country. President Trump has set the deadline for renewed deal for August 1st, 2025 moved from originally schedule for July 21, 2025
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