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President Trump said Monday the U.S. will impose 50% tariffs on automobiles and parts from Canada starting in January

The move, which would take effect in January, is the latest in the rapidly escalating trade war between the two neighbors.

President Trump said Monday the U.S. will impose 50% tariffs on automobiles and parts from Canada starting in January

US President Donald Trump announced plans to impose a 50% tariff on Canadian cars, trucks, automotive parts, and steel imports starting January 1, 2027. The tariffs would not apply to companies manufacturing within the United States. Trump accused Canada of unfair trade practices, particularly the high tariffs on American farmers and farm products, which he claimed had resulted in a $60 billion trade deficit.

He framed the move as an incentive for American companies to shift production to the US. Trump also described Canada as a state that no longer needs the United States, emphasizing that the US holds the upper hand in the bilateral relationship.

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