From Dairy to Booze, U.S. Ban on $1B Worth of Canadian Imports Takes Effect

UNITED STATES – U.S.-Canada relations, already tense, are likely to deteriorate further after the United States went ahead early Tuesday with a decision to ban nearly $1 billion worth of Canadian imports, including alcoholic beverages, dairy products and motorcycles.

The ban amounts to barely a ripple in $880 billion worth of annual two-way trade between the two northern neighbours, but it marks another escalation of President Donald Trump’s second-term trade war with America’s longtime ally and trading partner.

The latest sparring began over the summer when Trump imposed 50% tariffs on about $20 billion worth of Canadian imports, accusing Canada of discriminating against U.S. dairy, auto and alcoholic beverage producers. Canada promptly responded with tariffs of 15%, 25% or 50% on a similar value of U.S. imports.

To punish Canada for retaliating against his tariffs, Trump decided to ban a list of Canadian products, effective September 29. The White House announced the import bans on September 8, saying they were a response to what it described as Canada’s continued discrimination against U.S. commerce.