US President Donald Trump has warned that existing 25% tariffs on Canadian automobiles could be increased, signaling a further escalation in trade tensions.
Trump made the statement from the Oval Office, just days before Canadians head to the polls, asserting that the tariffs could go up in terms of cars.
The existing tariff is part of a broader trade dispute, with Trump stating, “We don’t want your cars, in all due respect,” and adding that the US wants to make its own cars.
Trump also questioned Canada’s relevance without US trade support, claiming that “Canada would cease to exist as a country if the United States stopped buying its goods.”
The tariffs are part of the ongoing trade tensions between the US and Canada, with some cars made under the USMCA exempt from the 25% tariff, but Trump leaving open the possibility of raising tariffs further.