Carney Says Trump’s Tariffs Violate Free Trade Agreement, But He’s Open To Talks
Canadian Prime Minister Mark Carney has criticized new 50% U.S. tariffs on Canadian goods as a violation of the USMCA trade agreement. While Canada considers the move discriminatory, the government remains open to negotiations to resolve the dispute.
Why it matters
This trade tension between the U.S. and Canada could have significant economic impacts on North American supply chains and consumer costs.
Topline Canadian Prime Minister Mark Carney on Monday said President Donald Trump’s latest 50% tariffs on a number of key goods from his country are the latest in a series of actions that violate the North American trade pact, but added Canada is prepared to engage with the U.S. to address any “outstanding issues.”
Canada's Prime Minister Mark Carney said the U.S. tariffs violate the USMCA trade agreement. AFP via Getty Images Key Facts Earlier on Monday, Trump signed an order imposing 50% tariffs on a range of Canadian goods, including wine, dairy, cement, furniture, and ice hockey gear.
The tariffs were imposed under Section 338 of the Tariff Act of 1930, an obscure Great Depression-era law that allows presidents to impose tariffs up to 50% on countries deemed to be discriminating against U.S. goods.
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