WASHINGTON, DC (LOOTPRESS) – President Donald Trump announced that starting Wednesday, the U.S. will double tariffs on Canadian steel and aluminum imports to 50%, citing Ontario’s recent 25% surcharge on electricity exports to the U.S.
New Trade Measures
Trump had already imposed a 25% tariff on nearly all Canadian imports and previously set a 25% duty on steel and aluminum from all foreign countries. However, in response to Ontario’s electricity surcharge, he directed the U.S. Commerce Department to increase tariffs on these metals from Canada to 50%.
“Because Ontario, Canada, has placed a 25% tariff on electricity coming into the U.S., I have instructed my Secretary of Commerce to add an ADDITIONAL 25% tariff—bringing it to 50%—on all steel and aluminum coming into the United States from Canada,” Trump wrote on Truth Social.
Economic Repercussions
The stock market reacted negatively to the announcement, with major indexes tumbling on Tuesday amid concerns over escalating trade tensions and a potential economic slowdown.
National Emergency on Electricity
Trump also declared that he would issue a “national emergency on electricity” in response to the Ontario surcharge, which impacts New York, Minnesota, and Michigan—states that rely on Canadian power exports.
Additionally, he urged Canada to remove tariffs on U.S. dairy products, a long-standing trade dispute between the two nations.
Trump Suggests Canada Join U.S. as 51st State
In a surprising remark, Trump reiterated his belief that Canada should become the 51st U.S. state, claiming that doing so would eliminate tariffs and provide economic and military benefits to Canadians.
“The only thing that makes sense is for Canada to become our cherished Fifty-First State,” Trump stated. “This would eliminate all tariffs, lower taxes for Canadians, strengthen our military, and solve any border issues.”
Canadian Response and Next Steps
Canadian officials have not yet responded to Trump’s latest tariff increase or his suggestion of U.S. annexation. However, tensions between the two countries have been rising, with previous trade disputes over dairy, lumber, and energy exports.
The increased 50% tariff on steel and aluminum from Canada is set to take effect Wednesday, adding another layer of uncertainty to U.S.-Canada trade relations.
