U.S. reveals import ban on slew of Canadian goods as trade war escalates

The White House said it would ban imports of Canadian motorbikes and a slew of other products starting later this month as diplomatic and trade relations with Ottawa continue to fray.

U.S. President Donald Trump used a string of executive orders late Monday to announce bans on Canadian whey products and molasses, non-alcoholic beer, and a slew of alcoholic drinks including malt beer, wines, cider, whiskies, vodka and other spirits. Larger-capacity motorcycles and mopeds will also be banned.

The import restrictions, which largely replace tariffs of 50%, are due to take effect on Sept. 29, 2026.

The U.S. also announced that tariffs on other Canadian products would be modified and extended from Sept. 15, including the addition of all-terrain vehicles and animal hides, and the removal of rock salt and cement.

U.S. Trade Representative Jamieson Greer said the moves were a “natural consequence of Canada’s continued discriminatory treatment of crucial American exports.”

It was announced on the same day that Canadian tariffs on CA$27.6 billion of U.S. imports came into effect, targeting more than 700 goods across steel, dairy, farm equipment, pulp and paper, electronics and more.

Ottawa previously said those tariffs were a “dollar for dollar” response to the 50% tariffs imposed by the U.S. on its own goods in August, after trade talks collapsed spectacularly just before the Aug. 21 deadline.

The two sides have continued to blame one another for the failure to reach a deal, and accused the other of unfair practices that harm their domestic workers.

Trump has accused Canada of disadvantaging U.S. exports through its policies in the auto, alcohol and dairy sectors, highlighting the U.S.’ trade deficit in goods, and threatening to hit cars, trucks and auto parts with a 50% tariff from Jan. 1, 2027.

Canadian Prime Minister Mark Carney said in an August address that the “narrow merchandise trade deficit only exists because the U.S. buys so much of its energy from us,” and flagged that Canada is the biggest consumer for U.S. cars and steel.

He also said that the U.S. “asked too much” in its trade negotiations and that retaliation was needed to protect Canadian workers and companies, even if there is an economic hit and reduced choice for consumers.

The existing tariffs apply to a relatively small portion of the $715.5 billion trade in goods between the countries, but economists have warned of an immediate blow to small- and medium-sized businesses and of the risks to growth from further escalation.

“Companies on both sides of the border will need to wait to see if these tariffs hold, more measures are enacted, or each country decides to de-escalate. In the meantime, those businesses will realize both tariff-, compliance-, and uncertainty-related costs,” said…