![\"An](\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2025\/08\/Aug1Tarrifs2.png\")
<\/p>\nMost goods not affected by tariff increase\u00a0<\/p>\n
U.S. President Donald Trump has once again raised tariffs on Canadian goods entering the United States.<\/p>\n
A tariff is a special type of tax on imported products.<\/p>\n
On July 31, Trump increased tariffs on any Canadian goods that don’t meet the terms of a previous trade deal \u2014 the Canada-U.S.-Mexico Agreement (CUSMA) \u2014 to 35 per cent.<\/p>\n
The previous rate set by Trump in March was 25 per cent. \u00a0<\/p>\n
The vast majority of Canadian goods comply with CUSMA and aren\u2019t affected by Trump\u2019s new tariff increase.\u00a0<\/p>\n
The new tariff increase applies to things like lumber, steel, aluminum and automobiles \u2014 which are all important industries for Canada.\u00a0<\/p>\n
<\/p>\n
U.S. President Donald Trump says he\u2019s increased tariffs on some Canadian goods because Canada isn\u2019t doing enough to tighten border security. (Image credit: Evelyn Hockstein\/Reuters)<\/p>\n
To increase the tariffs, Trump signed something called an executive order, which allows a president to make big changes quickly without having to consult U.S. lawmakers.\u00a0<\/p>\n
Critics have said Trump is abusing this power.\u00a0<\/p>\n
Trump justified the new tariffs by claiming that Canada hasn\u2019t been doing enough to stop a dangerous drug called fentanyl from entering the U.S. through the Canadian border.<\/p>\n
Prime Minister Mark Carney says that\u2019s false.<\/p>\n
“Canada accounts for only one per cent of U.S. fentanyl imports and has been working intensively to further reduce these volumes,” he said in a statement.<\/p>\n
“Canada’s government is making historic investments in border security to arrest drug traffickers, take down transnational gangs and end migrant smuggling.”<\/p>\n
Trump said that he is open to further talks with Canada around tariffs.<\/p>\n
Want to learn more about tariffs and how they work? Check out the video below.<\/p>\n<\/p>\n
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