'Direct violation...': Canada PM Mark Carney breaks silence as Trump orders new 50% tariff on Canadian goods

Canadian Prime Minister Mark Carney on Tuesday (Jul 21) issued a statement after United States President Donald Trump slapped 50 per cent tariffs on select Canadian goods in the areas of dairy, alcoholic beverages and motor vehicles. In a statement, Carney said that the “country would continue to support its people and businesses. Stating that Canada is ready for talks with America, he said that the Canadian Prime Minister added that "in response to these measures and threats to Canadian sovereignty, provinces, territories -- Canadians from coast to coast to coast have stood together, taking the necessary actions to support our economy and defend our workers, farmers, businesses, and families."

"This is the latest in a series of unilateral US trade actions that began with the US imposing a series of tariffs in direct violation of the Canada-United States-Mexico Agreement (CUSMA), the free trade agreement between Canada, the United States, and Mexico," Carney said in a statement posted on X.

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Carney said the new US tariffs on Canada's auto sector violated the Canada-United States-Mexico Agreement (CUSMA). He added that Canada had only matched the US measures, which it was entitled to do. He said Canada had put forward a series of detailed proposals over the past 18 months to resolve the trade dispute and modernise CUSMA. He added that Ottawa was ready to step up discussions with Washington in the coming weeks.

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Carney said Canada remained committed to free and fair trade. He noted that his government had signed more than 20 new economic and security partnerships, reflecting that commitment. He said the trade dispute had increased costs for families, especially in the United States. He added that Canada was willing to continue intensive talks with the US to resolve outstanding issues for the benefit of citizens in both countries. Carney also said the Canadian government would continue taking all necessary steps to strengthen the country's economy and support its workers, farmers, businesses and families.

His response comes after the United States announced a fresh wave of additional 50 per cent tariffs on certain Canadian goods, in what it called was a response to the "discriminatory treatment" of American products- in the sectors of motor vehicles, dairy and alcoholic beverages and are set to take place 30 days after the signing of the proclamations by Trump.