President Donald Trump announced on social media platform X on August 24 that tariffs on all cars, trucks (both large and small), automotive parts, and steel imported from Canada will be increased to 50% starting January 1, 2027.

In his post, Trump accused Canada of “ripping off the United States of America for years” with “ridiculously high tariffs on our Farmers and farm products,” which he said has created a $60 billion deficit between the two countries. He wrote: “Not sustainable, and NOT ANYMORE! On January First, 2027, Tariffs on all Cars, Trucks, both large and small, Automotive Parts, and Steel, will be increased to 50%. Build in the U.S. and there are ZERO TARIFS.” Trump emphasized that Canada “will be treated like a State no longer” and stated: “WE DON’T NEED CANADA, THEY NEED US! They do 95% of their business with the U.S., with us, the exact opposite!”

The announcement marks a significant escalation in U.S. trade policy toward Canada, a longtime ally. It remains to be seen whether Canada will retaliate, but the move could disrupt North American automotive and steel supply chains.