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Saskatchewan Premier Scott Moe said on Saturday that threat of 100 per cent tariffs is "further degradation of the free and fair trade system we took for granted for decades.". (THE CANADIAN PRESS/Liam Richards)
Trade deal

Trump’s latest 100% tariffs threat ‘degradation of the free and fair trade system,’ Moe says

Jan 25, 2026 | 10:15 AM

President Donald Trump on Saturday threatened to impose a 100 per cent tariff on goods imported from Canada if the trade deal with China goes ahead.

Trump said in a social media post that if Canadian Prime Minister Mark 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.”

Saskatchewan Premier Scott Moe said in a statement that threat of 100 per cent tariffs is “further degradation of the free and fair trade system we took for granted for decades.”

He pointed out that President Trump had last week called the Canada-China agreement a “good thing,” and a deal that Canada “should be doing”.

“Canada must continue to be pragmatic when dealing with other countries, stand up for own interests, diversify markets and work together to secure the best trade deals wherever possible,” Moe said.

“The China-Canada trade deal does just that and is a good deal for Canada. In the same way, we must continue to work to maintain CUSMA (Canada-United States-Mexico Agreement) because its a good deal not only for Canada, but for North America.”

While Trump has waged a trade war over the past year, Canada this month negotiated a deal to lower tariffs on Chinese electric vehicles in return for lower import taxes on Canadian agricultural products like canola.

The deal will see Canada allow up to 49,000 Chinese-made electric vehicles into the Canadian market annually, with a 6.1 per cent tariff applied to their import.

In exchange, China is expected to drop duties on canola seed to 15 per cent by March, and drop its tariffs on canola meal, lobsters, crabs and peas from March to at least the end of 2026.

Carney’s office did not immediately respond to a request for comment.

Trump’s threat came amid an escalating war of words with Carney as the Republican president’s push to acquire Greenland strained the NATO alliance. Trump had commented while at the World Economic Forum in Davos, Switzerland, this week that “Canada lives because of the United States.”

Carney shot back that his nation can be an example that the world does not have to bend toward autocratic tendencies.

Trump later revoked his invitation to Carney to join the president’s “Board of Peace” that he is forming to try to resolve global conflicts.

Trump’s push to acquire Greenland has come after he has repeatedly needled Canada over its sovereignty and suggested it also be absorbed the United States as a 51st state.

Many Western allies are suspicious of the “Board of Peace”, which is chaired by Trump and was initially formed to focus on maintaining the ceasefire in Israel’s war with Hamas but has grown into something skeptics fear could rival the United Nations.