09 September,2026 10:49 AM IST | Washington | mid-day online correspondent
Donald Trump. File Pic
The trade dispute between the United States and Canada has intensified after US President Donald Trump issued five presidential directives targeting Canadian imports, including motor vehicles, automotive components, alcoholic beverages and dairy products.
The White House said the measures were introduced after bilateral negotiations broke down, with the Trump administration accusing Canada of failing to fulfil commitments to remove what Washington considers discriminatory trade measures.
The five directives introduce import exclusions and changes to additional duties across three key commercial sectors, including automobiles, alcohol and dairy.
Under the first directive, certain Canadian motor vehicles and automotive components will be excluded from entering the US market.
The White House said Canada's motor vehicle tariff regime and quota allocations put US automobile manufacturers at a disadvantage compared with competitors from other countries.
The measure is aimed at addressing what the administration described as unequal treatment of American manufacturers in the Canadian market.
A separate directive modifies the list of Canadian products subject to additional duties in connection with restrictions imposed on American alcoholic beverages.
The second directive changes the scope of Canadian goods facing additional tariffs based on their value. The administration said the measure was intended to offset restrictions imposed by Canadian provinces on American beer, wine and spirits.
According to the White House, provincial rules in Canada restrict the distribution, retail sale and purchase of US alcoholic beverages while allowing alcohol from other international markets to enter under different conditions.
The fourth directive goes further by imposing direct import exclusions on designated Canadian alcoholic beverages. The administration said the measure was intended to respond to provincial restrictions affecting US liquor products.
Canadian dairy products are also targeted under the new measures.
The third directive imposes an import exclusion on selected Canadian dairy products entering the US. The White House specifically cited Canada's administration of tariff-rate quotas on cheese as a trade barrier that it considers unreasonable and discriminatory against American dairy farmers.
The measures represent a further escalation in trade tensions between the two countries, which have maintained extensive commercial ties despite disagreements over tariffs and market access.
The fifth directive changes the scope of Canadian goods subject to additional duties linked to the dispute over motor vehicles.
The order revises the list of Canadian exports that could face secondary duties, with the administration saying the changes are intended to offset disadvantages faced by US companies in the automotive sector.
The White House said additional tariffs under Section 338 of the Tariff Act of 1930 had originally been scheduled to take effect on August 19, 2026. The measures were temporarily delayed for three days after Canada committed to addressing the disputes, according to the administration.
However, the Trump administration said Canada later reneged on the agreement and ended what Washington described as good-faith negotiations on August 21. The administration subsequently moved ahead with the revised duties and import exclusions.
Earlier on Wednesday, Trump also said he had directed federal agencies to stop purchasing Canadian products through the US government's main procurement catalogue.
The directive instructs the General Services Administration (GSA) and the Office of the United States Trade Representative (USTR) to begin removing Canadian goods from federal purchasing channels.
In a post on Truth Social, Trump accused Canadian federal and provincial governments of preventing American small businesses from supplying public-sector buyers while Canadian companies have access to US government contracts.
Declaring a policy of "NO RECIPROCITY - NO ACCESS!", Trump said Canadian products would remain excluded from US government supply lists until Ottawa provides what his administration considers equal access to American businesses and farmers.
