President Donald Trump continued to deliver trade whiplash, saying Saturday that the U.S. will impose a 100% tariff on Canada if it reaches a trade deal with China.
In a social media post, he warned Canada not to become a “Drop Off Port” for Chinese goods meant for the U.S.
“China will eat Canada alive, completely devour it, including the destruction of their businesses, social fabric, and general way of life,” Trump added. “If Canada makes a deal with China, it will immediately be hit with a 100% Tariff against all Canadian goods and products coming into the U.S.A.”
The office of Canadian Prime Minister Mark Carney didn’t immediately respond to a request for comment.
Last week, China and Canada reached an agreement to lower trade barriers. It includes cuts to Chinese tariffs on certain Canadian agricultural products, and reduced Canadian tariffs on 49,000 Chinese EVs.
When asked about the deal, Trump voiced his approval.
“Well, that’s OK, that’s what you should be doing. I mean, it’s a good thing for him to sign a trade deal. If you can get a deal with China, you should do that, right?” he said Jan. 15.
Days later, Carney delivered a speech at the World Economic Forum in Davos, Switzerland, that warned of a “rupture” in the world order after Trump threatened tariffs on NATO allies unless they backed his plan to take over Greenland.
Without calling out Trump by name, Carney also denounced using “tariffs as leverage, financial infrastructure as coercion, supply chains as vulnerabilities to be exploited.”
Trump backed down from his NATO tariffs and agreed to a “framework” for a deal on Greenland as well as his planned “Golden Dome” missile shield, though the administration hasn’t provided more details. Reports indicate that it could involve mineral and basing rights.
Last year, Trump vowed to hit Canada—along with the rest of the world—with tariffs. But they don’t apply to imports covered under U.S.-Mexico-Canada trade pact.
It wasn’t clear from Trump’s social media post on Saturday if a 100% tariff on Canada would remove that exemption. It also wasn’t clear what constitutes a trade deal between Canada and China, given the two countries had already reached an agreement earlier.
The White House didn’t immediately respond to a request for comment.
The latest announcement follows a recent trend of Trump signaling a renewed willingness to wield tariffs.
In addition to the NATO tariffs, he said earlier the U.S. will impose secondary levies on countries that trade with Iran as he seeks to squeeze Tehran amid anti-regime protests. That could blow up his tariff ceasefire with China, which imports oil from Iran.
Meanwhile, the Supreme Court has yet to decide on Trump’s ability to apply tariffs under the International Emergency Economic Powers Act, which is a linchpin of his trade policy.
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