
(Image Credit: IMAGN) Mar 4, 2025; Washington, DC, USA; U.S. President Donald Trump addresses a joint session of Congress at the U.S. Capitol on March 04, 2025 in Washington, DC. President Trump was expected to address Congress on his early achievements of his presidency and his upcoming legislative agenda. Mandatory Credit: Win McNamee-Pool via Imagn Images
WASHINGTON, D.C. – President Donald Trump announced that his administration could impose reciprocal tariffs on Canadian dairy products and lumber as early as Friday, escalating a trade dispute between the two neighboring countries.
Speaking to reporters in the Oval Office, Trump criticized Canada’s high tariffs on American dairy and lumber imports, claiming that the country charges more than 200 percent on dairy products and imposes excessive tariffs on lumber exports.
“They make it impossible for us to sell lumber or dairy products into Canada. But our numbers are a tiny fraction of that. Almost nonexistent,” Trump said.
The president warned that unless Canada removes these restrictions, the U.S. will respond with equally high tariffs on Canadian products.
“They’ll be met with the exact same tariff unless they drop it,” Trump added. “And that’s what reciprocal means.”
To counter supply shortages, Trump also announced plans to loosen environmental regulations to allow increased domestic logging for lumber production.
The dairy and lumber industries have long been points of contention between the U.S. and Canada, despite the two countries maintaining a strong economic relationship overall.
Trump’s comments come after his administration imposed a 25 percent tariff on all imports from Mexico and Canada in February. While the tariffs were initially delayed, they took effect Tuesday, triggering retaliatory tariffs from Canada.
However, the White House later exempted certain car parts and goods covered under the U.S.-Mexico-Canada trade agreement (USMCA).
The president has vowed to implement reciprocal tariffs on all nations imposing duties on U.S. goods, beginning April 2.