Canada Retaliates Against Trump with $21B Tariff Hike on US Sports Gear and Computers as Trade War Intensifies

Canada has announced $21 billion in new tariffs on imports of U.S. computers, sports gear, and other goods amid an ongoing trade war.

The latest move comes hours after President Donald Trump’s 25% tariffs on Canadian steel and aluminum took effect.

Canadian Finance Minister Dominic LeBlanc stated on Wednesday that the list of products affected by the new tariffs includes computers, sports equipment, and cast iron products.

LeBlanc said: ‘Today, I am announcing that the government of Canada, following a dollar-for-dollar approach, will be imposing, as of 12:01 a.m. tomorrow, March 13, 2025, 25 percent reciprocal tariffs on an additional C$29.8 billion ($20.7 billion) of imports from the United States.’

He added: ‘This includes steel products worth C$12.6 billion and aluminum products worth C$3 billion as well as additional imported U.S. goods worth C$14.2 billion.’

This follows President Trump’s statement on Tuesday, vowing that Canada would pay a historically significant “financial price” for the electricity tariffs it imposed on parts of the U.S.

Ontario Premier Doug Ford reversed his stance and announced he would cancel the 25% tariff on Canadian electricity supplied to the northern states of Michigan, New York, and Minnesota.

In response to Canada’s decision to back down, Trump agreed not to double tariffs on Canadian steel and aluminum to 50%, keeping them at the current 25%.

Canada’s electricity tariffs, implemented on Monday, marked an escalation in the trade war and were a response to earlier tariffs imposed by Trump.

Premier Ford stated that he spoke with Commerce Secretary Howard Lutnick about the situation, and they agreed to meet on Thursday to discuss reciprocal tariffs that Trump plans to implement on April 2.

‘Ontario agreed to suspend its 25 percent surcharge on exports of electricity to Michigan, New York, and Minnesota,’ Ford said.

Amid the escalating trade war, President Trump reiterated his call for the U.S. to bring Canada into closer alignment.

‘Canada should honestly become our 51st state. we wouldn’t have a northern border problem. We wouldn’t have a tariff problem,’ Trump said.

‘Canada would be great as our cherished 51st state. You wouldn’t have border problems. You wouldn’t have anything.’

Earlier on Tuesday, Trump declared a national emergency on electricity in the United States and doubled the tariffs on aluminum and steel from Canada after Premier Ford implemented his electricity tariff.