As Trump threatens Canada with 35% tariff, Carney says he’ll defend workers
Prime Minister Mark Carney says Canada will continue to defend its workers and businesses in negotiations for a U.S. trade deal with what he calls a “revised deadline of August 1” after President Donald Trump made his latest tariff threat.
“Throughout the current trade negotiations with the United States, the Canadian government has steadfastly defended our workers and businesses,” Carney wrote in a post on X on Thursday night. “We will continue to do so as we work towards the revised deadline of Aug. 1.”
Carney’s post came only a few hours after Trump said a tariff of 35 per cent would be imposed on “Canadian products sent into the United States, separate from all Sectoral Tariffs.”
Trump said the new tariff would take effect Aug. 1.
The president’s letter once again referenced fentanyl allegedly “pouring into” the U.S. from Canada as a primary reason for the increased duties.
However, he also cited previous complaints of trade deficits and Canada’s supply management in the dairy sector.
The U.S. government’s own statistics showing miniscule amounts of fentanyl entering the U.S. from Canada were buttressed earlier this month by a report from New York think tank The Manhattan Institute, which found 99 per cent of the pills and 99 per cent of the powdered form of the drug entering the U.S. in the last decade came from Mexico.
“Canada has made vital progress to stop the scourge of fentanyl in North America,” Carney wrote. “We are committed to continuing to work with the United States to save lives and protect communities in both our countries.”
A U.S. administration official on background said that goods under the Canada United States Mexico Agreement (CUSMA) will remain exempt from the 35 per cent tariff. Energy and potash exports to the U.S. will also remain at 10 per cent.
The official cautioned no final decisions by Trump had been made.
The new threat comes as Canada and the U.S. are locked in negotiations over a wider economic and security agreement, with July 21 set as a target date.
Global News has reached out to the Prime Minister’s Office to inquire if this date has changed following Carney’s post suggesting a new Aug. 1 deadline.
The 35 per cent tariffs, according to Trump, are separate from tariffs on the automotive industry, and on steel and aluminum exports.
Trump has also vowed a new 50 per cent tariff on copper and 200 per cent tariff on pharmaceuticals, which would also impact Canada. More than half of its copper exports go to the U.S.
Industry Minister Melanie Joly earlier Thursday vowed to “fight” the copper and pharmaceutical tariffs.
The president said there would be no tariff if Canada or companies in the country “decide to build or manufacture product within the United States,” adding the U.S. would do everything to get approvals quickly if this happens.
However, he also warned that if Canada decides to raise its tariffs on the U.S., it would add that amount onto the 35 per cent tariff.
This warning isn’t new, however, as Trump has warned other countries of doing the same should they raise their duties as a response.
The prime minister in his post went on to say the government, alongside provinces and territories, are “making significant progress in building one Canadian economy.”
“We are poised to build a series of major new projects int he national interest,” Carney wrote. “We are strengthening our trading partnerships throughout the world.”
—with files from Global News’ Simon Little
globalnews
