President Donald Trump signed executive orders Tuesday targeting Canadian dairy products, motor vehicles, and alcoholic beverages, escalating the ongoing trade war between the two nations.
The bans are set to take effect on September 29, with Trump signing the orders on the same day Canada’s retaliatory tariffs on $27.6 billion worth of American goods came into force.
In signing all three orders, Trump cited Canadian “discrimination” against U.S. dairy, motor vehicles, and alcoholic beverages as the primary justification for the sweeping measures.
Canada’s “dollar for dollar” tariffs that took effect Tuesday cover a broad range of American goods, including milk and cream, steel, aluminum, paper, and exercise equipment.
Canadian Prime Minister Mark Carney imposed the levies in direct response to Trump placing 50 percent taxes on roughly 5 percent of goods American businesses import from Canada.
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’s Multiple Award Schedule allows state, local, and tribal governments to enter into contracts with foreign partners, making the directive a significant escalation beyond simple import restrictions.
Trump imposed the bans under Section 338 of the Tariff Act of 1930, which grants the president authority to bar imports from countries that maintain or increase discrimination against U.S. commerce.
The ban on Canadian alcohol closely mirrors restrictions that provinces across Canada placed on American alcohol in early 2025, effectively returning the measure in kind.
A senior Trump administration official said the White House also completed “housekeeping” on existing tariffs, removing duties on cement, road salt, and hospital pads and replacing them with levies on all-terrain vehicles, some cheeses, and motor boats.
A White House official confirmed that Trump’s plan for 50 percent duties on Canadian cars and trucks remains on the table, with the president recently threatening to impose those tariffs on January 1.
Canada-U.S. Trade Minister Dominic LeBlanc said he is in contact with U.S. Trade Representative Jamieson Greer and that Canada is actively assessing the latest measures announced by Washington.
“When the U.S. is ready to engage, our government will work in good faith and constructively towards a more secure mutually beneficial trading relationship that fully respects Canadian sovereignty,” LeBlanc said in a social media post Tuesday night.
