US President Donald Trump has warned Canada that any trade deal with China could trigger a 100% tariff on all Canadian goods entering the United States.
The threat comes amid escalating tensions between the two countries since Trump returned to office last year, with disagreements over trade and global leadership.
Canadian Prime Minister Mark Carney recently visited Beijing, where he announced a “preliminary but landmark” trade agreement aimed at reducing tariffs with China. Trump responded sharply, claiming on Truth Social that such a deal would allow China to “eat Canada alive” and destroy its businesses and social fabric.
Relations have grown tense following Carney’s speech at the World Economic Forum in Davos, where he criticized a “rupture” in the US-led global order, a remark widely seen as a critique of Trump’s international policies. Trump retaliated by withdrawing an invitation for Carney to join his self-styled “Board of Peace.”
Canada remains heavily dependent on US trade, with over three-quarters of its exports going south. Key sectors such as auto, aluminum, and steel have already felt the impact of Trump’s tariffs, although the North American free trade framework has provided some protection. Negotiations to revise the trade agreement are set to begin this year.
Trump’s aggressive stance comes as both countries, along with Mexico, prepare to host the World Cup later this year.
