On Tuesday, President Donald Trump said that he has directed his administration to increase import levies on Canadian steel and aluminum by a further 25%, bringing the total charges to 50%.
Trump stated that the new policy will take effect on Wednesday AM.
In reaction to Ontario’s government’s decision to impose a 25% tax on power exports to the United States, Trump announced he was enacting the most recent tariffs.
Doug Ford, the premier of Ontario, took such action in response to Trump’s widespread 25% tariffs on Canadian imports.
Trump posted on Truth Social Tuesday morning, saying, “In light of Ontario, Canada imposing a 25% tariff on “Electricity” entering the United States, I have directed my Secretary of Commerce to impose an additional 25% tariff, up to 50%, on all steel and aluminum entering the United States from Canada, one of the highest tariffing nations in the world.”
He wrote, “This will take effect TOMORROW MORNING, March 12th.”
Following Trump’s pronouncement, the Dow Jones Industrial Average continued to decline, down more than 400 points, while the S&P 500 and Nasdaq Composite both had declines of 0.6% and 0.1%, respectively.
The effects of Trump’s tariffs and general recessionary fears have already sent markets into a tailspin.
In addition, Trump threatened to “declare a National Emergency on Electricity within the threatened area” and demanded that Canada “immediately drop” a “Anti-American Farmer Tariff” on specific U.S. dairy products.
“This will enable the United States to promptly take necessary action to mitigate this abusive threat from Canada,” he said.
Ford said he would stick to his countermeasure on U.S. energy just minutes after Trump sent the post. “We will not back down. We will be relentless,” Ford said on MSNBC, adding, “I apologize to the American people that President Trump decided to have an unprovoked attack on our country, on families, on jobs, and its unacceptable.”
