A large transport truck crosses the Peace Bridge from Buffalo, New York, into Canada at Fort Erie, Ontario, on Aug 18, 2026. (Photo: AFP)
MONTREAL, Quebec - US President Donald Trump’s 50% tariffs on certain Canadian goods, which took effect on Saturday, have delivered another blow to bilateral trade, renewing focus on Ottawa’s efforts to reduce dependence on its southern neighbour.Canadian Prime Minister Mike Carney’s strategy involves a search for new markets, a focus on domestic trade and the launch of major projects.
Interconnected markets
The two economies are heavily interconnected, with roughly 70% of all Canadian exports heading to the United States.
Previous Trump levies on autos, steel, aluminium and lumber have hit Canada hard, forcing job losses and stunting growth.
