Trump took aim at Canada in a series of other Truth Social posts over the weekend, including one that called Canada's exchange rate with the US "unacceptable".

Another post showed a map of North America - including Canada and Mexico - and Greenland all overlaid with the US flag.

Canada and the US have the world's largest bilateral trading relationship valued at nearly $900bn in 2025.

With new US tariffs and Canadian counter-tariffs now in effect, businesses on both side are scrambling to deal with what comes next.

The US currently has in place a 25% tax on Canadian cars and trucks, as well as taxes on Canadian steel, aluminium and lumber. In late August, President Donald Trump imposed new 50% tariffs on other goods like dairy, alcohol, hockey sticks and perfume.

Canada's counter-tariffs, which were described by Carney as "dollar-for-dollar" and range from 15% to 50%, will from Tuesday be applied to hundreds of items coming in from the US.

Products like American milk, golf clubs, steel, aluminium and certain clothing like jackets and T-shirts will face 50% tariffs. Cheese, toilet paper and certain household appliances like air conditioners will face 25% tariffs, while fork-lift trucks and industrial moulds will be hit with 15% tariffs.

These levies are in addition to existing retaliatory taxes Canada had placed on finished American cars and trucks that are non-compliant with a free trade agreement between Canada, the US and Mexico, known as the USMCA in the US and CUSMA in Canada.

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