Scott Bessent Warns of 100% Tariffs if Canada Signs China Trade Deal

The United States has warned it could impose sweeping 100 percent tariffs on Canadian imports if Ottawa proceeds with a new trade agreement with China, escalating tensions amid an ongoing US–Canada trade dispute. The warning was issued on Sunday by US Treasury Secretary Scott Bessent, reinforcing similar remarks made earlier by President Donald Trump.

Speaking on ABC’s This Week, Bessent said Washington would not allow Canada to serve as a conduit for Chinese goods entering the US market. “We can’t let Canada become an opening that the Chinese pour their cheap goods into the US,” he said, adding that the imposition of steep tariffs remained a real possibility if Canada finalized a free trade deal with Beijing.

The warning followed Canadian Prime Minister Mark Carney’s visit to China on January 16, during which he announced a thaw in bilateral relations and described a “new strategic partnership” between Ottawa and Beijing. As part of a preliminary agreement, China is expected to significantly reduce tariffs on Canadian canola imports by March 1, lowering duties from 84 percent to around 15 percent.

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The proposed deal also includes measures to ease travel and trade. China has agreed to allow Canadian visitors to enter the country visa-free, while Canada would import 49,000 Chinese electric vehicles under preferential tariffs of 6.1 percent. The developments come at a sensitive time, as the Trump administration has already imposed import duties on Canada, straining relations between the two neighboring countries.

Asked directly whether the United States would follow through on President Trump’s threat to levy 100 percent tariffs, Bessent said such action would be taken if Canada moved ahead and allowed what Washington views as dumping of Chinese goods. “There’s a possibility of 100-percent tariffs if they do a free trade deal,” he said.

President Trump also weighed in on the issue via his Truth Social platform, accusing China of “successfully and completely taking over” Canada, while adding a lighter remark expressing hope that the country’s national sport, ice hockey, would remain unaffected.

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