The United States will ban imports of several Canadian products, including alcoholic spirits, certain dairy goods and motorbikes, after Canada’s retaliatory tariffs on American goods took effect this week. President Donald Trump signed a series of executive orders Tuesday accusing Canada of “discriminating” against the US and outlined the new restrictions, which take effect September 29.
Officials on both sides have said they want to reach a trade deal, but no new talks have been scheduled since negotiations broke down in late August.
Canada’s trade minister, Dominic LeBlanc, called the latest US measures “unjustified” and said he would work to protect Canadian workers, families and businesses. “Our core focus is on what we can control: building strength at home, diversifying our partnerships abroad, and building Canada strong for all Canadians,” he said. LeBlanc added that he had reached out to his US counterpart and pledged to work “in good faith” to ease tensions.
Earlier Tuesday, Canadian Prime Minister Mark Carney said in a video address that his country’s shift away from relying on the US as its largest trading partner “will come at a cost.”
A Long-Running Trade Dispute

The new US restrictions mark the latest escalation in a months-long trade war between the two countries, which have historically been close economic allies. More than two-thirds of Canada’s total exports go to the US. In 2025, Canada’s alcoholic spirits exports to the US were worth $687 million, dairy products totaled $269 million and motorbikes came to $90 million, according to UN data compiled by Trading Economics.
Stephen Brown, chief North America economist at Capital Economics, said the ban covers just 0.25% of Canada’s exports to the US. “Nonetheless, Trump’s willingness to impose an import ban is further evidence, if it were needed, that these latest measures are about inflicting economic pain rather than raising revenue,” he said.
Canada remains the second-largest trading partner of the US after Mexico, though its exports are less diversified than those of the US. Business owners on both sides of the border have said in recent months that they expect prices to rise and customer numbers to fall as the dispute continues.
Last month, the White House imposed 50% tariffs on roughly $20 billion worth of Canadian goods after several rounds of negotiations collapsed. Those tariffs hit Canada’s furniture and wine industries along with some sporting and fishing equipment businesses. Canada responded with what Carney called “dollar-for-dollar” tariffs on US goods including steel, clothing and furniture. Canada’s counter-duties took effect after midnight Tuesday.
The White House said Canada was discriminating against US businesses by restricting American goods while not applying the same restrictions to similar products from other countries.
What’s Banned and What Costs More
Some products, including whey and non-alcoholic beer, are banned from import entirely under the new orders. Tariffs have also been raised on other goods, including cheeses and cheese substitutes that were not covered by the outright bans, along with motorboats.
Products banned outright include certain dairy items like whey, cane molasses, non-alcoholic beer, a range of wine, rum and vodka products, beer made from malt, and motorbikes including mopeds.
Products facing higher import taxes include various types of cheese, raw hides and skins, paper, some furniture and mattresses, some metals including aluminum and iron, motorboats, golf carts, fishing rod parts and accessories, and switchboards.
Washington has targeted “significant industries” for Canada, including its politically influential dairy sector, according to Scott French, an economics lecturer at the University of New South Wales in Australia. Trump has previously argued that Canada’s dairy system, which includes production quotas, set pricing and import limits on dairy, eggs and poultry, is unfair to American farmers.
French said the new bans and tariffs will increase pressure on Canada’s leaders to make concessions to Trump’s demands. He said the trade war will prove “costly for both sides due to the historical level of integration of the North American economy,” and that consumers in both countries will end up as “the biggest losers.”
On Monday, Trump signaled further trade restrictions could follow, warning Canadian aircraft manufacturer Bombardier that it would lose access to the US market unless it moved its manufacturing there. Trump has long argued that tariffs help correct trade imbalances between the US and its trading partners, though his broader tariff policies have strained relationships with several longtime US allies.
Some Canadians have organized boycotts of US products, including alcohol, which have disappeared from some store shelves since Trump’s global tariff campaign began last year.
Deborah Elms, a trade expert at the Hinrich Foundation, told the BBC the import ban could have a “strong” impact on individual Canadian businesses that sell to US buyers, though early estimates suggest a “modest impact” affecting around $1 billion worth of goods overall. She said Canada will likely “hold course for now” and adjust its business support measures in response to the latest US actions.
“The bigger question is what it will take for the two sides to sit back down together,” Elms said. “The language in these proclamations, as an example, isn’t helpful in getting to the negotiating table.”
Carney addressed the cost of Canada’s response as its counter-tariffs took effect Tuesday. “There’s always a cost to action,” he said. “But it doesn’t come close to the cost of standing still.”
The dispute between the two countries has extended beyond trade in recent weeks. In August, Trump ordered that Lake Ontario be renamed Lake America, a move that drew objections from Canadians and some Americans alike.




