Trump Warns Canada of 100% Tariff Over China Trade Deal

US President Donald Trump has warned Canada that it would face a 100 percent tariff on all goods entering the United States if it finalises a trade agreement with China.

Relations between Washington and Ottawa have remained strained since Trump returned to the White House a year ago, marked by repeated trade disputes and sharp political rhetoric. Canadian Prime Minister Mark Carney has recently described a “rupture” in the US-led global order, further fuelling tensions.

During a visit to Beijing last week, Carney welcomed what he called a “new strategic partnership” with China, announcing a preliminary agreement aimed at easing certain tariffs. Trump responded by warning that any move to conclude such a deal would carry serious consequences.

Writing on his Truth Social platform, Trump said Canada would not be allowed to become a transit point for Chinese goods entering the US market and claimed China would severely damage Canada’s economy and way of life. He added that a China deal would trigger an immediate 100 percent tariff on all Canadian products entering the United States.

Trump also referred to Carney as “Governor”, a remark linked to his repeated assertions that Canada should become the 51st US state.

Canada’s minister responsible for trade with the United States, Dominic LeBlanc, rejected the claim that Ottawa was pursuing a free trade agreement with China, saying discussions had focused only on resolving specific tariff-related issues.

The exchange followed Carney’s speech at the World Economic Forum in Davos, where he warned of growing fractures in the global system, comments widely seen as a critique of Trump’s foreign policy approach. Trump later withdrew an invitation for Carney to join his proposed “Board of Peace”, a body he has promoted as a mechanism for resolving global conflicts.

Trade remains a critical issue for Canada, which sends more than three-quarters of its exports to the United States. Key sectors such as automobiles, aluminium and steel have already been affected by US tariffs, though existing North American trade arrangements have softened the impact.

Negotiations to revise that agreement are expected early this year, with Trump repeatedly insisting the United States does not need Canadian imports, a stance that could have far-reaching consequences for both economies.