OTTAWA: Prime Minister of Canada Mark Carney on Friday expressed his government’s disappointment over President Donald Trump’s decision to increase US tariffs on Canadian goods to 35 percent.
United States (US) President Donald Trump signed an executive order on Thursday evening to impose tariffs of between 15 and 41 per cent on goods shipped to the US from more than 67 countries.
President Trump had warned of trade repercussions for Ottawa following Carney’s announcement to support the recognition of a Palestinian state at the UN General Assembly in September.
In response, He issued an executive order increasing the tariff from 25% to 35%.
“The Canadian government is disappointed by this action,” Carney said in a statement.
Trump’s order cited Canada’s failure to “cooperate in curbing the ongoing flood of fentanyl and other illicit drugs” as well as its “retaliation” against his measures.
“Canada accounts for only one percent of US fentanyl imports and has been working intensively to further reduce these volumes,” Carney said.
He said Ottawa remained committed to the Canada-US-Mexico Agreement (CUSMA).
“The US application of CUSMA means that the US average tariff rate on Canadian goods remains one of its lowest for all of its trading partners,” he said.
My statement on Canada-U.S. trade: pic.twitter.com/0PSG9kKtiO
— Mark Carney (@MarkJCarney) August 1, 2025
“Other sectors of our economy – including lumber, steel, aluminum, and automobiles – are, however, heavily impacted by US duties and tariffs.”
“Canada’s government is making historic investments in border security to arrest drug traffickers, take down transnational gangs, and end migrant smuggling,” the statement said.
“We will continue working with the United States to stop the scourge of fentanyl and save lives in both our countries,” it added.
“Canadians will be our own best customers, creating more well-paying careers at home, as we strengthen and diversify our trading partnerships throughout the world. We can give ourselves more than any foreign government can ever take away by building with Canadian workers and by using Canadian resources to benefit all Canadians,” he said in the statement.
