- By Priyanka Koul
- Sat, 24 Jan 2026 10:48 PM (IST)
- Source:JND
US President Donald Trump has warned that Canada could face a 100 per cent tariff on its goods if it proceeds with a trade agreement with China, cautioning Prime Minister Mark Carney that such a deal would put the nation at risk.
In a post on Truth Social, Trump stated, "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. China will eat Canada alive, completely devour it, including the destruction of their businesses, social fabric, and general way of life. 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. Thank you for your attention to this matter!"
Trump followed up in another post, "The last thing the world needs is to have China take over Canada. It’s NOT going to happen, or even come close to happening! Thank you for your attention to this matter."
Carney, during a recent visit to China, praised the nation as a "reliable and predictable partner" and encouraged European leaders at the World Economic Forum in Davos to consider investments from China.
This comes amid Canada’s effort to lessen its dependence on the US by negotiating what has been described as a "landmark deal" with China, heralding a "new strategic partnership." With this new trade agreement, Canada also expects to see a resolution of many long-term trade obstacles for a range of important agricultural sectors, from beef to pet food.
“Canada and China have reached a preliminary but landmark trade agreement to remove trade barriers and reduce tariffs,” Carney told reporters after meeting with Chinese President Xi Jinping.
The deal includes a reduction in tariffs on Canadian canola products by March 1, dropping from the current rate of 84 per cent to approximately 15 per cent. In exchange, Canada will allow the import of 49,000 Chinese electric vehicles (EVs) under a new preferential tariff rate of 6.1 per cent. Additionally, China will grant visa-free access to Canadian visitors.
Tensions between the US and Canada have increased recently, with the exchange of words between Trump and Carney intensifying over the past week. Last week during Carney's speech at the World Economic Forum in Davos, he warned of a potential "fracture" in the US-led global order, which was met with a standing ovation.
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Although Carney did not directly mention Trump, many interpreted his comments as a critique of the US president’s approach to global diplomacy.
Trump responded the following day in his own speech and took the extraordinary step of revoking an invitation for Carney to join his "Board of Peace".
In a national address on Thursday, Carney remarked, “Canada doesn’t live because of the United States. Canada thrives because we are Canadian,” while still acknowledging the "remarkable partnership" between the two countries.