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Trump plans to cut Canadian goods from government buyers

Original source (on modern site) | Article images: [1] [2]

Spools of steel at a steelworks facility in Hamilton, Ontario, Canada | BLOOMBERG

U.S. President Donald Trump said he would seek to bar Canadian companies from selling to government contractors, deepening the two countries' trade war with a move that threatens to roil a system meant to smooth the sale of commercial goods to agencies across the U.S.

The order, announced in a social media post, will take place "unless Canada restores full and fair reciprocity for American Farmers and Companies," Trump announced in a Truth Social post on Tuesday. Trump said Canadian goods and services sold under the so-called Multiple Award Schedule are worth more than $50 billion each year, though the actual number may be much lower.

The president's actions are the latest salvo in a trade fight that has expanded well beyond tariffs. Talks between the U.S. and Canada on a trade truce collapsed at the last minute in August, leading the Trump administration to follow through with a 50% tariff on billions in Canadian goods.

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