Washington, July 11 (V7N) – The United States has announced a 35 percent tariff on imports from Canada, set to take effect from August 1, CNN reports. The decision comes amid escalating tensions over the trafficking of fentanyl, a powerful synthetic opioid blamed for tens of thousands of overdose deaths in the U.S.

President Donald Trump informed Canadian Prime Minister Mark Carney of the move through an official letter, accusing Ottawa of failing to curb the production and spread of the deadly painkiller.

However, Trump clarified that Canadian companies setting up manufacturing operations inside the United States would be exempt from the new tariffs.

Canada is one of the United States’ largest trading partners. In 2024, Ottawa imported $349 billion worth of goods from the U.S., while exporting $413 billion to the American market. The new tariff is likely to strain this crucial trade relationship.

This decision follows a similar announcement targeting 14 other countries, including Bangladesh, which also faces a 35 percent tariff on exports to the United States beginning August 1.

Economists and trade analysts warn that the tariffs could disrupt North American supply chains and trigger retaliatory measures, especially with major elections approaching in both countries.

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