Prime Minister Mark Carney says Canada will keep standing up for its workers and businesses as trade talks with the United States continue. He made the comments after former U.S. President Donald Trump threatened to put a 35% tariff on Canadian products starting August 1.
In a post on X Thursday night, Carney said: “Throughout the current trade negotiations with the United States, the Canadian government has steadfastly defended our workers and businesses. We will continue to do so as we work towards the revised deadline of Aug. 1.”
Just hours earlier, Trump announced he would place a 35% tariff on Canadian goods entering the U.S., calling it separate from other tariffs on cars, steel, and aluminum. He blamed the move partly on fentanyl coming from Canada — even though official U.S. data shows that almost all fentanyl in the U.S. actually comes from Mexico.
Trump also repeated complaints about Canada’s dairy system and trade deficits. Still, Carney responded by saying Canada has made “vital progress” to fight fentanyl in North America and will keep working with the U.S. to protect communities.
A U.S. official said that goods covered under the Canada-United States-Mexico Agreement (CUSMA) would not be affected by the 35% tariff. Energy and potash exports would continue to face a 10% tariff. The official added that Trump had not made a final decision yet.
Canada and the U.S. are currently in talks over a broader economic and security agreement, with July 21 set as a target. It’s not clear if Carney’s August 1 comment means that deadline has changed.
Dennis Darby, head of the Canadian Manufacturers and Exporters, said Trump’s threat raises “serious doubts” about whether the U.S. is negotiating in good faith — though he still hopes a deal can be reached.
Trump also wants to put a 50% tariff on copper and a 200% tariff on pharmaceuticals. These would impact Canada, since it sends more than half its copper exports to the U.S. Industry Minister Mélanie Joly said Canada would fight back against those tariffs.
Trump said Canadian companies can avoid the 35% tariff by moving their production to the U.S. He also warned that if Canada raises tariffs on U.S. products, he will increase his tariffs even more — something he has also threatened to do with other countries.
In his post, Carney added that Canada is building a stronger economy with help from provinces and territories. “We are poised to build a series of major new projects in the national interest,” he said. “We are strengthening our trading partnerships throughout the world.”
