Canada wants free trade — only on its terms

Behind the maple-leaf branding is a protectionist system that singles out Americans

By Peter Navarro | National Post | July 22, 2026

Canada has long cultivated the image of America’s friendly, free-trading neighbor. The reality is less polite.
Behind the maple-leaf branding is a protectionist system that singles out American farmers, distillers, automakers, and workers. Canada demands access to the American market while reserving the right to close its own when competition becomes inconvenient.
President Donald Trump is ending that one-way arrangement with three proclamations imposing additional 50 per cent tariffs in response to Canada’s obstruction of American dairy exports, government-directed blockade of American alcoholic beverages, and punitive tariff system targeting U.S. made vehicles.
The authority is Section 338 of the Tariff Act of 1930. It permits additional duties of up to 50 per cent when another country discriminates against American commerce or favourrs competitors. The duties take effect 30 days after the proclamations, giving Canada time to end them.
These are not blanket tariffs. Each proclamation targets selected products to offset a burden on American commerce.
Section 338 authorizes the President to offset the full burden, not merely mirror the offending product. Tariffs on Canadian dairy, alcohol, or autos alone would not equal the damage caused by Canada’s measures, while autos and auto parts are already covered by a separate Section 232 regime. The proclamations therefore extend to additional Canadian goods. The goal is a comparable burden until Ottawa lifts its burden on American producers. This is reciprocal trade enforcement, not economic aggression.
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