Trump's new tariff on Canada: He will impose a 35 percent tax

US President Donald Trump shared the tariff letter directed at Canada on his Truth Social social media account. Noting that the letter was an indication that they would continue to work with Canada despite the US retaliation, Trump reminded that they had imposed customs duties on this country to deal with the fentanyl crisis.

35% TAX

Trump stated that Canada responded with retaliation instead of working with the US, saying, "Starting August 1st, we will impose a 35% tariff on Canadian products shipped from Canada to the US, separate from all sectoral tariffs."

Trump emphasized that goods transited through other countries to avoid the higher rates will be subject to higher tariffs.

Pointing out that no customs duties will be applied if companies from Canada produce in the USA, Trump also stated that they will speed up the approval processes for this.

"If for any reason you decide to raise your tariffs, whatever percentage you choose to raise them by will be added to the 35% tariffs we have in place," Trump said.

Trump emphasized that the fentanyl flow is not the only difficulty they are having with Canada, noting that this country has many tariff and non-tariff policies and trade barriers that are causing unsustainable trade deficits with the United States.

Trump continued:

"The trade deficit is a major threat to our economy and even our national security. If Canada works with me to stop the flow of fentanyl, perhaps we can consider an adjustment to this letter. These tariffs can be adjusted up or down depending on our relationship with your country."