‘If Canada makes a deal with China...’: Trump warns of 100% tariffs as US-Canada tensions spike

US President Donald Trump has threatened to impose a sweeping 100% tariff on all Canadian imports if Ottawa moves ahead with a trade agreement with China, sharply escalating tensions between the two North American neighbours. 

In a post on his Truth Social platform on Saturday, Trump warned that Canada would face severe consequences if it allowed itself to become a conduit for Chinese goods entering the United States. 

“If Governor Carney thinks he is going to make Canada a ‘Drop Off Port’ for China to send goods and products into the United States, he is sorely mistaken,” Trump wrote. “If Canada makes a deal with China, it will immediately be hit with a 100% Tariff against all Canadian goods and products coming into the U.S.A.” 

Trump also used incendiary language to describe China’s influence, claiming Beijing would “eat Canada alive,” destroying its businesses, social fabric and way of life. 

‘Golden Dome’ dispute adds fuel to fire 

The tariff threat comes amid a broader deterioration in US-Canada relations, intensified by Canada’s rejection of Trump’s proposed “Golden Dome” missile defence project over Greenland. 

On January 24, Trump criticised Canada for opposing the US-backed defence initiative, arguing it would have enhanced Canadian security. Instead, he accused Ottawa of pivoting towards China. 

“Canada is against The Golden Dome being built over Greenland, even though The Golden Dome would protect Canada,” Trump posted. “Instead, they voted in favour of doing business with China, who will ‘eat them up’ within the first year!” 

The “Golden Dome” proposal is part of Trump’s broader push for a multi-billion-dollar missile defence architecture in the Arctic and North Atlantic, an idea that has drawn mixed reactions from US allies. 

Carney pushes back at Davos remarks 

The latest exchange follows comments made by Canadian Prime Minister Mark Carney after Trump claimed at the World Economic Forum (WEF) in Davos that “Canada lives because of the United States.” 

Carney forcefully rejected the assertion in a national address from Quebec City ahead of a new legislative session. 

“Canada doesn’t live because of the United States. Canada thrives because we are Canadian,” Carney said, while acknowledging the “remarkable partnership” between the two countries. 

Trump withdraws ‘Board of Peace’ invitation 

Trump appeared to respond within hours, announcing on Truth Social that he was withdrawing Canada’s invitation to join his self-styled “Board of Peace”, a proposed billion-dollar initiative aimed at resolving global conflicts. 

“Dear Prime Minister Carney: Please let this Letter serve to represent that the Board of Peace is withdrawing its invitation to you regarding Canada’s joining,” Trump wrote. 

Trade ties under strain 

The back-and-forth marks one of the most serious diplomatic flare-ups between Washington and Ottawa in years, raising questions over the future of bilateral trade, defence cooperation, and North American economic integration. 

Canada remains one of the United States’ largest trading partners, with deeply intertwined supply chains across manufacturing, energy, agriculture and services. Analysts warn that a blanket 100% tariff, if implemented, would have significant repercussions on both sides of the border.