Trump announces 50% tariffs on wide range of Canadian imports

US President Donald Trump has announced sweeping new tariffs of up to 50 per cent on a broad range of Canadian imports, opening a new front in the trade dispute between the neighbouring countries.

The tariffs, which are due to take effect on August 19, will apply to products including dairy goods, wine, cement, furniture, clothing, fishing equipment and sporting goods.

The White House said the measures are a response to what it described as Canada's discriminatory treatment of American-made vehicles, alcohol and dairy products.

The announcement came a day after Trump met Canadian Prime Minister Mark Carney at the FIFA World Cup final in New Jersey, where he urged Canada to do more to tackle wildfires that have sent smoke across large parts of the United States. Last week, Trump warned that the cost of dealing with the smoke could be added to existing tariffs on Canadian goods.

The new measures were imposed under Section 338 of the US Tariff Act of 1930, marking the first known use of the provision, which allows a president to levy punitive tariffs of up to 50 per cent on countries deemed to discriminate against US goods.

Canadian Prime Minister Mark Carney said Ottawa has put forward proposals to resolve the trade dispute, while maintaining that previous US tariffs breached the North American trade agreement.

He said Canada remains ready to work with Washington to resolve outstanding issues, but added that the ongoing dispute has increased costs for families, particularly in the United States.

The latest measures are expected to further strain trade relations between the two countries, although the US has exempted some products, including energy, potash, fish and critical minerals.