Canadian Prime Minister Mark Carney has said he is “disappointed” by an increased tariff on some exports to the United States.

Donald Trump escalated a trade war by boosting the tariff rate from 25% to 35%, saying that Canada had “failed to cooperate” in curbing the flow of fentanyl and other drugs across the US border. The Canadian government says it is cracking down on drug gangs.

However most goods from Canada will dodge the import tax imposed by the US thanks to an existing trade treaty, the United States-Mexico-Canada Agreement (USMCA).

Economists and financial analysts have warned that the new levies will raise prices for businesses and consumers in the US and weigh on the economy, predictions that the Trump administration has dismissed.

  • Arkouda@lemmy.ca
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    2 days ago

    The context given was Carney said we account for 1% of the flow south. Which demonstrates that Trumps statement is inaccurate.

    If one reads the article one can clearly see that Trump said Canada accounts for a huge flow of drugs over the border and isn’t doing enough to curb it. Carney stated the fact that it is 1% of total movement into the US, and the article also states that Canada has increased enforcement clearly demonstrating that what Trump said is not accurate.