Trump raises auto tariffs to 50% in Canada trade dispute

President Donald Trump announced Monday that tariffs on all cars, trucks, automotive parts, and steel will rise to 50% starting January 1, 2027, following the collapse of weekend trade talks with Canada. Trump stated in a social post that building in the U.S. would incur zero tariffs, adding Canada will no longer be treated like a state. The White House and Canadian government did not immediately respond to requests for comment, with both sides blaming each other after Friday's failed negotiations. Auto executives expressed skepticism about the threat, noting Trump has previously announced large tariffs that never materialized. They suggested the announcement could aim to restart talks before November's midterm elections, though any such tariff would likely provoke massive Canadian retaliation.