The United States has threatened to impose 100% tariffs on all Canadian imports if Canada finalizes its new trade deal with China. Treasury Secretary Scott Bessent amplified President Donald Trump's similar warning from a day earlier on Sunday, stating that Canada cannot become an opening for cheap Chinese goods to enter the US. This follows Canadian Prime Minister Mark Carney's announcement of a preliminary agreement during a January 16 visit to Beijing.
US Treasury Secretary Scott Bessent stated on Sunday that the United States will impose 100 per cent tariffs on Canadian imports should Ottawa finalise a new trade deal with China. This amplifies a similar threat from US President Donald Trump a day earlier.
“We can’t let Canada become an opening that the Chinese pour their cheap goods into the US,” Bessent said on ABC’s This Week.
During a visit to Beijing on January 16, Canadian Prime Minister Mark Carney announced a thaw in bilateral relations with China, saying the two countries had struck a “new strategic partnership” and a preliminary trade deal. Under the deal, China is expected to reduce tariffs on canola imports from Canada by March 1 to around 15 per cent, down from the current 84 per cent.
China will also allow Canadian visitors to enter the country visa-free. In turn, Canada will import 49,000 Chinese electric vehicles (EVs) under new, preferential tariffs of 6.1 per cent.
A video of Chinese President Xi Jinping meeting with Canadian Prime Minister Mark Carney highlights the advancing partnership. The development underscores trade tensions among the US, Canada, and China.