US President Donald Trump quickly backtracked on plans to double tariffs on Canadian steel and aluminium imports, that would have seen them raised to 50%.

Tariffs of 25% still went ahead and took effect on Wednesday, despite the threats from Trump earlier this week.

The escalation of ongoing trade tensions and comes in response to Ontario’s recent decision to impose a 25% surcharge on electricity exported to northern U.S. states. 

Trump warned that if Canada did not remove tariffs, including those affecting agricultural products, he would further target the auto industry, potentially crippling Canadian automobile manufacturing.

His initial threats of raising the tariffs to 50% sparked a huge backlash.

Ontario Premier Doug Ford vowed to resist, stating: “Until the threat of tariffs is gone for good, we won’t back down.”

In a post on X, Ford criticised Trump for initiating an “unprovoked trade and tariff war with America’s closest friend and ally.” 

He also previously warned that Ontario might halt electricity exports entirely if the U.S. escalates its actions.

Meanwhile, Canadian Prime Minister-designate Mark Carney responded on X, calling Trump’s tariffs an attack on Canadian workers, families, and businesses. 

He assured Canadians that his government would take action with the goal of maximising the impact on the US while minimising harm to Canada, ensuring support for affected workers. Carney also affirmed that Canadian tariffs would remain in place until the US demonstrates respect and commits to fair trade practices.