US-Canada trade war: Donald Trump slaps 35% tariff on Canadian goods starting August 1; cites financial retaliation

US President Donald Trump announced a 35 per cent tariff on Canadian imports, effective August 1. The decision was conveyed in a letter to Canadian Prime Minister Mark Carney on Thursday, marking the latest in a string of over 20 similar communications Trump has issued since Monday.The move follows escalating tensions over trade policies, with Trump accusing Canada of retaliatory actions. “Instead of working with the United States, Canada retaliated with its own tariffs,” Trump said in the letter, shared on his Truth Social platform. “Starting August 1, 2025, we will charge Canada a tariff of 35 per cent on Canadian products sent into the United States, separate from all sectoral tariffs,” he further announced.The announcement comes amid ongoing negotiations over Trump’s push for “reciprocal” tariffs aimed at reshaping US trade relationships.