US Bans Canadian Alcohol, Dairy Products As Trade War Worsens

US Bans Canadian Alcohol, Dairy Products As Trade War Worsens

The White House escalated its trade conflict with Canada late Tuesday by prohibiting the import of specific products, notably alcoholic beverages, and increasing tariffs on a range of other goods. This move signals a significant shift in U.S.-Canada trade relations amid ongoing disputes over trade policies.

A range of Canadian products, from mattresses to motorboats and golf carts, will be subject to a 50-percent surcharge beginning September 15, stated an executive order by President Donald Trump. The import ban, which targets various alcoholic beverages as well as some dairy products like whey, will come into effect on September 29, according to other executive orders issued at the same time. The retaliation comes as Ottawa has just imposed new tariffs on US products in response to the duties announced by Washington on August 22.

“President Trump is doing this to make sure, again, that we keep a level playing field, deter retaliation, and of course protect American production,” a senior administration official, speaking on condition of anonymity, told reporters on a call. The senior official said Canadians had been warned that their reaction would escalate the situation.

Such schedules account for over $50 billion a year, Trump added.

In a social media post, Trump said he was directing officials “to REMOVE Canadian-origin products from GSA’s Multiple Award Schedules,” referring to a General Services Administration program for long-term contracts. US trade lawyer Ryan Majerus said the move could widen the scope of impacted goods beyond those hit by tariffs.

Earlier Tuesday, Trump had threatened to exclude Canadian products from a government procurement program “unless Canada restores full and fair reciprocity for American Farmers and Companies.