Trump bans Canadian dairy, vehicles and alcohol

New US restrictions target Canadian dairy, automotive and alcoholic beverage imports, while Canada imposes retaliatory tariffs on $27.6 billion of American goods.

USA – US President Donald Trump has signed executive orders banning the sale of Canadian dairy products, motor vehicles and many alcoholic beverages in the United States, as trade tensions between the two countries continue. 

The bans take effect on 29 September, the same day retaliatory Canadian tariffs on $27.6 billion worth of US goods came into force. Trump cited Canadian discrimination against US dairy, motor vehicles and alcoholic beverages in signing the orders. 

The Canadian tariffs cover a wide range of US products, including milk and cream, steel, aluminium, paper and exercise equipment. Prime Minister Mark Carney imposed the levies after Trump introduced 50% tariffs on roughly 5% of goods imported from Canada. 

In a video address released Tuesday, Carney indicated that Canada’s approach to trade was changing. He said Trump administration officials wanted us to become even more reliant on the United States during trade talks last month, negotiations that Carney ended before Trump’s tariffs took effect. 

“The past 40 years [have] been a period of deeper economic integration with the United States,” Carney said. “Truth is, it was easy business, but it meant we relied too much on one economic partner.” 

“It’s clear that time is over,” the Canadian prime minister added. “This is why our plan, since I came into office, has been development and diversification.” 

Trump also directed the General Services Administration to remove Canadian products from its Multiple Award Schedule “unless Canada restores full and fair reciprocity” for American farmers and companies. 

The GSA schedule allows state, local and tribal governments to enter contracts with foreign partners. 

“Everyone knows that Canada doesn’t let our Great Dairy Farmers sell into the Canadian Market, and that the only reason Canada makes Autos is because of previous disastrous Trade Agreements while other Presidents were in Office,” Trump wrote on Truth Social, adding that Canada gains access to US government procurement markets through a Trade Scam. 

The measures add new restrictions to the ongoing US-Canada trade dispute, with the latest actions targeting dairy, automotive and alcoholic beverage trade as well as government procurement access. The new orders take effect as Canada’s retaliatory tariffs remain in force, further expanding the range of products affected by the dispute. 

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