U.S. President Donald Trump’s administration has told the Canadian government to expect tariffs to go into effect starting Tuesday, senior sources in the Canadian government told Global News Saturday.
The 25 per cent tariff on Canadian goods, with an exception for Canadian oil and gas which will face a tariff of 10 per cent, will go into effect Tuesday, the source said.
No official notification of the tariffs has yet occurred, the sources said.
Trump signed the tariff orders on Saturday, Reuters reported, citing a White House official.
Those tariffs will be set at 25 per cent on all Canadian imports to the U.S., but at 10 per cent on energy products, Reuters reported, adding that the White House said a “retaliation clause calls for further action, likely increased tariffs.”
This comes after weeks of U.S. President Donald Trump repeatedly warning Mexico and Canada — two of the United States’ top trading partners — he will impose tariffs if the two countries do not end fentanyl trafficking and the flow of migrants across U.S. border.
He has also complained about deficits in trade after both countries took steps to boost security.
On Thursday, Trump said they “may or may not” include a tariff on Canadian oil and gas — Canada’s largest export to the United States — but whether tariffs will be the threatened 25 per cent ones on all exports or lower, more specific ones on certain sectors remains unclear.
The Canadian Chamber of Commerce called news of the tariffs “profoundly disturbing.”
“Tariffs will drastically increase the cost of everything for everyone: every day these tariffs are in place hurts families, communities, and businesses,” Candace Laing, the chamber’s CEO and president, said in a statement.
Experts have warned that tariffs by the United States and counter-tariffs from Canada could put inflationary pressure on both economies. For certain goods like fresh fruits and vegetables, prices could start rising almost immediately, economists warned.
For a closer look at how prices on key everyday items could feel the effects of tariffs, read more here.
All eyes are now on Ottawa, with the federal government likely to issue retaliatory tariffs on the U.S. if American tariffs go into effect.
Trending Now
CRA expands automatic tax filing for 2025 season. Who is eligible?
American killer and fugitive lived for 50 years under a new name in an Alberta town
Prime Minister Justin Trudeau had warned the United States of a “forceful but reasonable immediate response.”
A day before that looming measure, Trudeau met with the Committee on Internal Trade, made up of premiers and federal officials under the Canadian Free Trade Agreement, in Toronto on Friday.
2:01
Trump has threatened a 10% tariff on Canadian oil – how will it impact the industry?
In his opening remarks before the meeting, Trudeau said Canada is in a “critical moment” after Trump doubled down on his threat Thursday, saying that a 25 per cent tariff on goods coming from Canada and Mexico would be imposed on Saturday.
“If the president does choose to implement any tariffs against Canada, we’re ready with a response — a purposeful, forceful but reasonable immediate response,” Trudeau said.
“It’s not what we want but if he moves forward, we will also act,” he added. “We’re ready for whatever scenario comes forward.”
–with files from Global’s Jillian Piper, Mercedes Stephenson, Sean Boynton and Saba Aziz and from Reuters
© 2025 Global News, a division of Corus Entertainment Inc.
