đ¨ BREAKING: U.S. Imposes 35% Tariffs on Canadian Imports Starting August
President Trump has instructed a sharp 35% tariff on most Canadian imports, up from the previous 25%, citing:
Treatment of fentanyl flow across the border
U.S.âCanada trade imbalance and alleged Canadian trade barriers
The increase excludes USMCA-covered goods and maintains carve-outs for energy and fertilizersâsubject to final review
đ Immediate Market Reactions
Stock Indices: S&P 500 and TSX futures slipped, while the Dow dropped ~0.6% as investors absorbed trade risk
Currency Moves: Canadian dollar hit a twoâweek low; U.S. dollar strengthened
Safe-Haven Assets: Gold edged up amid rising uncertainty
đĽ Trade War Flashpoint
This intensifies the ongoing U.S.âCanada âeconomic tugâofâwarâ, which began with 25% tariffs on March 4 and Canadian counter-tariffs
Canada rebuked the move, with PM Carney vowing to defend national interests and negotiate before the August deadline
đĽ Crypto Angle
Interestingly, Bitcoin rallied, with institutional appetite growing amid the turbulence. Crypto markets see this as part of a broader macro shiftâlook for rising volatility and broader riskâoff flows