{"id":111651,"date":"2026-01-25T11:10:29","date_gmt":"2026-01-25T08:10:29","guid":{"rendered":"https:\/\/www.capitalfm.co.ke\/business\/?p=111651"},"modified":"2026-01-25T11:10:29","modified_gmt":"2026-01-25T08:10:29","slug":"trump-threatens-canada-with-100-tariffs-if-it-makes-a-deal-with-china","status":"publish","type":"post","link":"https:\/\/www.capitalfm.co.ke\/business\/2026\/01\/trump-threatens-canada-with-100-tariffs-if-it-makes-a-deal-with-china\/","title":{"rendered":"Trump threatens Canada with 100% tariffs if it ‘makes a deal with China’"},"content":{"rendered":"

NAIROBI, Kenya, Jan 25 – US President Donald Trump has threatened to slap a 100% tariff on Canadian goods if the country strikes a trade deal with China.<\/strong><\/p>\n

“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 said on Truth Social.<\/p>\n

It is unclear what deal Trump is referring to in his social media post. Last week, Canada’s Prime Minister Carney announced a “strategic partnership” with China, and agreed to reduce tariffs.<\/p>\n

At the time, Trump called the move “a good thing”. But tensions between the US and Canada have grown in recent days, after Carney said in a speech in Davos that the US-led world order had been ruptured.<\/p>\n

Carney also urged other “middle powers” to band together in the face of economic coercion by “greater powers”, though he did not mention Trump by name.<\/p>\n

Trump responded to the remarks in his own speech the next day, saying: “Canada lives because of the United States.”<\/p>\n

The US president also withdrew an invitation for Canada to join his new Board of Peace.<\/p>\n

On Saturday, Trump said in his social media post that if 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”.<\/p>\n

The BBC has contacted the White House and Carney’s office for comment.<\/p>\n

Canada’s US trade minister Dominic LeBlanc said in a statement: “There is no pursuit of a free trade deal with China.”<\/p>\n

“What was achieved was resolution on several important tariff issues.”<\/p>\n

LeBlanc said the government was focused on building a stronger Canadian economy and strengthening trade partnerships “throughout the world”.<\/p>\n

Canada has been seeking to diversify trade away from the US, its largest trade partner, following the uncertainty caused by Trump’s on-again-off-again tariffs.<\/p>\n

Under the agreement reached between Carney and Chinese President Xi Jinping last week, China will lower levies on Canadian canola oil from 85% to 15% by March, while Canada will tax Chinese EVs at the most-favoured-nation rate, 6.1% \u2013 down from 100%.<\/p>\n

The deal was seen as a breakthrough after years of strained ties and tit-for-tat tariffs, and could see more Chinese investments in Canada.<\/p>\n

Carney said the progress made with China sets Canada up “well for the new world order”.<\/p>\n

By BBC<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

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