Global Markets
Home›Global Markets›Trade & Tariffs›US bans Canadian dairy, alcohol and motorcycles as tar…
US bans Canadian dairy, alcohol and motorcycles as tariffs escalate
The White House said the restrictions will start in three weeks, after Canada hit $20 billion of US imports with retaliatory tariffs on Tuesday.
The United States will bar Canadian dairy products, most alcoholic beverages, and motorcycles from entering the country, the White House said Tuesday, as the trade dispute between the two neighbors escalates. The ban is set to take effect in three weeks.
The announcement follows Canada’s retaliatory tariffs on $20 billion of US imports earlier Tuesday. The US measures also include actions aimed at restricting Canadian goods from large, long-term US government contracts.
In a directive to the General Services Administration, President Donald Trump said Canadian products should be declared ineligible for those government contracts until Canada allows what the order described as full and fair reciprocity for American products. Mark Carney, Canada’s prime minister, said Canada’s strategy is aimed at speeding efforts to reduce dependence on the United States.
The Guardian reported that the two sides have previously sparred over protected Canadian dairy and alleged subsidies tied to softwood lumber. The broader deterioration in US Canada relations has accelerated under Trump, including stepped-up tariffs and earlier US actions connected to 50% tariffs imposed on about 5% of Canadian imports in August.