VISI.NEWS | BANDUNG – U.S. President Donald Trump has once again made headlines with a controversial move by increasing import tariffs on goods from Canada from 25% to 35%. The decision was announced via an executive order signed late on July 31 and will take effect next week.

The policy has sparked widespread concern among business leaders, economists, and trade partners, particularly Canada one of America’s closest and most critical trading allies.

Unilateral Move Without Consultation

According to a statement from the White House, the tariff hike is part of Trump’s broader strategy to “protect domestic industries from unfair trade practices.” However, many observers argue that the decision was made without prior consultation with the Canadian government or U.S. industries that heavily rely on Canadian raw materials and intermediate goods.

“This is not just an aggressive move; it undermines the trust and long-term stability of bilateral trade relations,” said Caroline Peterson, a senior economist at the Brookings Institution.

Canada Reacts: “Unfriendly and Damaging”

The Canadian government responded swiftly and firmly. Canada’s Minister of Trade labeled the policy as “unfriendly and damaging to the spirit of bilateral cooperation.” The country is now considering retaliatory measures, which could include imposing tariffs on key American exports such as steel, aluminum, and agricultural products.

“Canada will not stand idle while its primary trade partner unilaterally enforces discriminatory measures,” the Minister stated during a press conference in Ottawa.

Immediate Economic Impact

The increased tariffs are expected to trigger price hikes on Canadian imports in the U.S. market, including vehicles, heavy machinery, electronics components, and agricultural goods. Analysts warn that this could hurt the U.S. manufacturing sector and worsen inflationary pressures, which have not fully stabilized since the global pandemic.

Meanwhile, market players and logistics providers fear that the policy could disrupt regional supply chains, forcing companies to seek alternative sources that are more expensive and less efficient.

Political Motives Behind the Policy?

Several analysts suggest the move is politically motivated, as Trump gears up for the 2026 presidential election and aims to strengthen support among blue-collar and manufacturing-sector voters. “This isn’t the first time Trump has used trade policy as a campaign tool,” said James R. Walker, a political analyst from Georgetown University.

President Trump’s decision to raise tariffs on Canadian goods from 25% to 35% adds to the growing list of protectionist policies that continue to divide public opinion.

While the administration claims it’s defending national economic interests, the move risks damaging diplomatic relations with Canada and increasing uncertainty within the U.S. economy. The world now watches to see how Canada will respond and whether this marks the beginning of a new trade war in North America.

@gvr