President Donald Trump said the US will put a 35% tariff on some imports from Canada, escalating the tensions between two countries that have impaired one of the world’s largest trading relationships.

U.S. President Donald Trump on Thursday signed an executive order increasing tariffs on Canadian goods to 35% from 25% on all products not covered by the U.S.-Mexico-Canada trade agreement, the White House said.

While Mexico received a temporary reprieve, Trump followed through on the Canadian tariff hike . According to Forbes, only 19.1 percent of Canadian goods are USMCA-compliant in 2025, a sharp drop from 37.9 percent in 2024, suggesting most exports will be impacted by the hike unless exempt.