Trump Escalates Trade War with Canada, Threatens 50% Tariff on Aircraft
In a significant escalation of trade tensions between the United States and Canada, former U.S. President Donald Trump has issued a new economic threat targeting Canadian aircraft manufacturers. The controversial statement, made on January 29, 2026, represents the latest development in an ongoing dispute over aircraft certification standards that has strained bilateral relations.
Specific Threat Targets Aviation Sector
Trump specifically announced his intention to impose a 50% tariff on all Canadian aircraft sold in the United States. This dramatic measure comes as retaliation against what Trump characterizes as Canada's "wrongful, illegal and steadfast refusal" to certify Gulfstream jets manufactured in the United States. The former president claims this refusal has effectively prohibited Gulfstream products from being sold in the Canadian market.
"We are hereby decertifying their Bombardier Global Expresses, and all Aircraft made in Canada, until such time as Gulfstream, a Great American Company, is fully certified," Trump declared on his Truth Social platform. He further warned that if Canada doesn't immediately correct this situation, he would implement the substantial tariff on all Canadian aircraft entering the U.S. market.
Second Major Tariff Threat in Days
This aircraft tariff threat follows closely on the heels of another significant economic warning from the former president. Just days earlier, Trump had threatened to impose a 100% tariff on all Canadian goods if Canada proceeded with a trade agreement with China. In his social media posts, Trump expressed concern that Canada might become a "drop off port" for Chinese goods entering the United States.
"China will eat Canada alive, completely devour it, including the destruction of their businesses, social fabric, and general way of life," Trump wrote in a particularly dramatic warning about potential Chinese economic influence.
Political Context and International Response
The escalating trade threats occur against the backdrop of recent international economic discussions. Canadian Prime Minister Mark Carney, whom Trump referred to as "Governor Carney" in his posts, had recently spoken at the World Economic Forum in Davos, Switzerland. During his January 20 address, Carney warned about the changing global economic order and urged middle powers to unite against economic coercion from larger nations.
Trump responded to Carney's remarks during his own WEF speech, suggesting the Canadian leader showed insufficient gratitude. The former president subsequently withdrew Canada's invitation to join what he termed his "Board of Peace," further illustrating the deteriorating diplomatic relationship between the two North American neighbors.
Economic Implications and Industry Impact
The threatened tariffs could have significant consequences for both countries' aviation industries. Canadian aircraft manufacturers, particularly Bombardier, would face substantial barriers to the crucial U.S. market if such measures were implemented. Conversely, American companies like Gulfstream stand to benefit from reduced Canadian competition if the certification dispute remains unresolved.
Trade experts have previously warned that Trump's tariff threats could harm American interests as much as Canadian ones, given the deeply integrated nature of North American supply chains and manufacturing networks. The aviation sector represents a particularly sensitive area of economic cooperation between the two countries, with complex cross-border production relationships that could be disrupted by aggressive trade measures.
As these economic tensions continue to mount, observers are closely monitoring whether these threats will materialize into actual policy changes or remain rhetorical maneuvers in an increasingly contentious international relationship.