US treasury secretary warns of 100% tariffs on Canada over China deal

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.

Related Articles

Dramatic illustration of President Trump threatening 100% tariffs on Canada after Davos spat, featuring flags, tariff warnings, and symbolic trade clash elements.
Image generated by AI

Trump threatens Canada with tariffs after Davos clash

Reported by AI Image generated by AI

President Donald Trump threatened Canada with a 100% tariff on its goods following a new trade deal with China, escalating tensions from a recent spat at the World Economic Forum in Davos. The threat came after Canadian Prime Minister Mark Carney criticized U.S. ambitions to acquire Greenland, prompting Trump to accuse Canada of ingratitude. This exchange highlights growing strains between the U.S. and its northern neighbor.

US President Donald Trump warned that he would impose a 100% tariff on Canadian goods if Canada proceeds with its trade deal with China, claiming it would devastate Canada's economy. Trump stated that China would 'eat Canada alive.' Canadian Prime Minister Mark Carney responded by urging Canadians to buy domestic products.

Reported by AI

President Donald Trump has warned of 100% tariffs on Canada if it pursues trade deals with China, creating early tensions in the upcoming T-MEC review this year. The threat follows a limited agreement between Canada and China that cuts tariffs on food products and electric vehicles. Canadian officials maintain the deal aligns with T-MEC obligations.

Canadian Prime Minister Mark Carney met with Chinese leaders in Beijing on January 16, 2026, pledging to enhance dialogue and cooperation while upholding the multilateral trading system. His four-day state visit signals a warming in bilateral relations, the first by a Canadian PM in eight years.

Reported by AI

The EU is preparing for a trade conflict with the US and plans counter-tariffs worth 93 billion euros if President Donald Trump follows through on his tariff threats. The dispute centers on US claims to Greenland, which belongs to Denmark. An EU leaders' special summit is scheduled for Thursday.

A trade deal between India and the US was announced following a phone call between US President Donald Trump and Prime Minister Narendra Modi. Under the agreement, US tariffs on Indian exports have been reduced from 50% to 18%. Indian officials confirm the tariff cut, while Trump claims India will stop buying Russian oil and commit to purchasing $500 billion in US goods.

Reported by AI

President Donald Trump warned the US Supreme Court that a ruling against his reciprocal tariffs would cause massive financial chaos, following his call with Mexican President Claudia Sheinbaum. In a Truth Social post, Trump stated that overturning the tariffs would require refunding hundreds of billions of dollars and impact trillions in investments. The Court, skeptical in a November hearing, could annul the measures announced in April 2025.

 

 

 

This website uses cookies

We use cookies for analytics to improve our site. Read our privacy policy for more information.
Decline