Premiers Smith, Moe disappointed by Trump's tariffs but most exports remain duty-free
Saskatchewan Premier Scott Moe says the Canada-United States-Mexico trade agreement remains in place, allowing 95 per cent of his province's exports to move into the United States tariff-free.
He says the agreement staying in effect is very significant and provides Canada with an advantage over other countries facing steeper levies.
Alberta Premier Danielle Smith says the vast majority of her province's products also remain tariff-free, because they also fall under the agreement.
Trump followed through late Thursday on his threat to hit Canada with 35 per cent tariffs — up from 25 per cent — on goods not compliant with the trade agreement.
Tariffs of 50 per cent remain in effect on steel and some copper products, and levies on Canadian automobiles and lumber are also in place.
U.S. Census Bureau data shows nearly 60 per cent of Canadian goods that entered the country in May were complaint with the agreement.
Smith says it's unfortunate non-compliant goods will be hit with the higher tariffs.
'These tariffs hurt both Canadian and American businesses and workers, and they weaken one of the most important trade and security alliances in the world,' she said in a social media post Friday.
'I remain convinced that the path to a positive resolution with our U.S. partners lies in strong, consistent diplomacy and a commitment to working in good faith toward shared priorities.'
Prime Minister Mark Carney's countermeasures of 25 per cent tariffs on $30 billion in U.S. goods remain in effect.
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Moe said Carney should refrain from imposing additional retaliatory measures.
He also said Ottawa needs to cut regulations to spur pipeline and rail development.
'There is much more that Canada can do to control our own economic destiny, but the federal government must remove barriers to growth in order to make that happen,' Moe said in a statement.
Smith said Carney should continue negotiating with Trump, while working toward diversifying the country's economy.
This report by The Canadian Press was first published Aug. 1, 2025.
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