US weighs potential bans on some Canadian imports amid tariff escalation
President Donald Trump pledged to hike tariffs on Canadian steel and autos-related imports to 50% starting Jan. 1. The Trump administration is weighing which Canadian imports it might prohibit if Canada retaliates, using Section 338 legal authority.
President Donald Trump has already pledged to hike tariffs on Canadian steel to 50%, beginning Jan.
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The Trump administration is weighing which Canadian imports it might prohibit if Canadian officials retaliate further against US tariffs, a US official told Semafor.
Canada announced earlier this week it would match the Trump administration’s latest levies, fueling fears of an escalating trade war between the two longtime allies after negotiations imploded last week.
If Canada goes further, the US official said, its actions would provide the legal basis for the US to impose another round of tariffs on Canada under Section 338.
The same legal authority could be used to prohibit imports from Canada, the US official added, and the Trump administration is analyzing those imports to determine which prohibitions would not disrupt US supply chains.
President Donald Trump has already pledged to hike tariffs on Canadian steel as well as trucks, cars, and car parts to 50%, beginning Jan.
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