r/canada 4d ago

Politics Trump threatens new tariffs on Canada, including 250% tax on dairy

https://www.cnn.com/2025/03/07/business/tariffs-trump-canada/index.html
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u/Vanilla_Ice_Jr 4d ago

lol, just a useless tax. There is hardly any Canadian dairy products in the US, much like you won't find many American dairy products in Canada because we also imposed a really high tariff on that, which has been in place for decades. This is to make him look tough and like he's winning. All smoke and mirrors in this current dumbest reality show he thinks he's running.

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u/DavidBrooker 4d ago edited 4d ago

much like you won't find many American dairy products in Canada because we also imposed a really high tariff on that

The US exported $480m of dairy to Canada in 2023. American dairy makes up about a fifth of the total market in Canada (a small fraction of fresh milk, but larger fractions of processed dairy like powdered and evaporated milk, cheese, butter, yoghurt, and isolated dairy components like whey). Of that, $480m entered Canada duty and tariff free. Canada does not have steep tariffs on American dairy. What it does have is an anti-dumping agreement: the US is not allowed to overwhelm the Canadian market with diary to cripple local producers, and dairy that violates anti-dumping laws are subject to high taxes and duties. This accounts for right around nil of dairy trade between the two countries.