Toronto 
U.S. President Donald Trump has signed three proclamations placing an additional 50% tariff on certain Canadian imports, escalating the trade dispute between the two countries.
The duties take effect at 12:01 a.m. Eastern time on August 19, 2026. Products covered by the Canada-U.S.-Mexico Agreement are not automatically protected, meaning qualifying goods may still face the new charge.
The measures cover separate groups of Canadian products and include items ranging from wine and hockey sticks to cement. Energy, potash, fish, critical minerals and goods already subject to Section 232 tariffs are among the exemptions.
The White House said the action responds to Canada’s “discriminatory treatment” of American automobiles, alcoholic beverages and dairy products. Trump used Section 338 of the Tariff Act of 1930, which allows a president to impose duties when another country is found to disadvantage U.S. commerce.
On automobiles, the administration pointed to Canada’s tariffs and quotas on U.S. vehicles. Canadian imports of American motor vehicles fell about 22%, from approximately $25.9 billion to $20.3 billion, between April 2025 and March 2026 compared with the previous 12-month period.
Alcohol restrictions were another major focus. Beginning in March 2025, provinces and territories stopped purchasing or selling U.S. alcoholic beverages. Alberta and Saskatchewan later lifted their bans in June 2025.
Between March 2025 and February 2026, Canadian imports of U.S. alcohol dropped roughly 81%, falling from about $718 million to $137 million. Meanwhile, imports from several other countries increased.
The dairy proclamation takes aim at Canada’s cheese tariff-rate quotas. The U.S. argues that Canadian rules give European Union cheese exporters access that is not equally available to American suppliers under the USMCA.
The tariffs are additional to other applicable duties and will remain in place unless they are reduced, changed or ended.
Trump also signed a separate proclamation dealing with primary aluminum. It directs the U.S. commerce secretary to develop an incentive program for companies investing in American aluminum smelters. Approved companies could import a corresponding amount of primary aluminum at half the usual Section 232 tariff rate, provided they meet their investment commitments.
The move comes after Trump said on Truth Social on Friday that Canadian wildfire smoke was “filthy, polluted, and unhealthy,” accused Canada of “willful negligence,” and suggested its cost to the United States should be added to Canadian tariffs.
See White House Fact Sheet for more information.
