President Trump's New Tariff Target: Canada
President Donald Trump's moves to further escalate his trade war will once again test the patience and resolve of his optimistic supporters while causing others further angst as they brace for costs to continue to climb and some supplies' availability to lessen.
"American farmers are bracing for the impact of new tariffs exchanged between the U.S. and Canada on both their supply costs and their sales," Wisconsin Public Radio's Hope Kirwan reported.
Many people in agriculture have felt that strain since last year when President Trump launched a broader version of the trade war that he initiated during his first term in office.
How Has Trump Ridiculed Canada?
Trump has mocked Canada numerous times, including many posts on social media, since returning to office. He has claimed that Canada should become America's 51st state and that the U.S. doesn't need Canada's business. The ridicule has only strained relations more between the countries, countries that have been close allies for centuries.
But Trump repeatedly claims that Canada (and other countries) ripped off the U.S. for years, and he has threatened to raise tariffs multiple times as he tries to negotiate trade deals that he considers more favorable.
This week, he took the trade dispute to another level after already placing 50% tariffs on approximately $20 billion worth of Canadian goods. Trump, who has largely bypassed Congress with his tariff actions, issued an executive order to announce bans on Canadian whey products, molasses, wines, cider, vodka, malt beer, and motorbikes.
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Why Is Canada One of the Top U.S. Ag Importers?
Canada imported $28 billion in agricultural goods in 2025, Jayash Paudel, associate professor of economics at the University of Oklahoma, explained to Harvest Public Media.
That makes Canada America's second largest export market. Only Mexico imports more.
"It's not really about winning or losing here," Paudel said. "I think ultimately the heat is going to be felt by Americans."
What New Tariffs Has Canada Announced on American Goods?
Canada responded to Trump's actions with actions of its own. It levied "dollar for dollar" tariffs in retaliation. Those tariffs on U.S. imports would add 50% duties for 700 goods. Dairy, farm equipment, electronics, pulp and paper are among the products that will be affected.
"Companies on both sides of the border will need to wait to see if these tariffs hold, more measures are enacted, or each country decides to de-escalate. In the meantime, those businesses will realize both tariff compliance and uncertainty-related costs," Justin Angotti, associate in the international trade and national security group at law firm Reed Smith, told CNBC.
Who Is Criticizing Trump's Tariffs and Bans on Canada?
Some Republican members of Congress have spoken about publicly about the potential harm that Trump is doing to American agriculture. "I think the administration has very much underestimated the impact on Maine families, on small manufacturers, on our agricultural products," U.S. Sen. Susan Collins (R-ME) told Politico.
Collins faces a challenging re-election fight and has been willing to show her disagreements with Trump more publicly than some other Republicans in Congress.
She added to Politico, "And that's what I'm trying my best to educate them (Trump administration) about. They look at this issue as a macro issue. And in fact, the micro impact on a state like Maine is considerable."
Who Supports Trump's Tariffs on Canada?
But there are agricultural leaders who speak out in support of Trump's efforts. Among those is Krysta Harden, president and CEO of the U.S. Dairy Export Council.
Harden released a statement that said, "We appreciate the Administration's persistence in standing up for American dairy producers and exporters who have waited far too long for Canada to live up to its promises. Canada has had plenty of chances to fix its unfair market access practices and close the loopholes it's used to dodge its dairy commitments under USMCA (United States-Mexico-Canada Agreement)."
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