WASHINGTON — U.S. President Donald Trump said he will exclude Canada from the U.S. government procurement market.
Writing on Truth Social on the 8th, Trump said Canada's federal government and its provincial governments have barred U.S. small businesses and companies from entering their government procurement markets, calling the practice trade fraud rather than reciprocity.
He added that he is directing all necessary steps to remove Canadian products from the General Services Administration's multiple award schedule unless Canada restores full and fair reciprocity for U.S. farmers and businesses. Trump said the contracts involved are worth more than $50 billion a year, or about 67 trillion won, and argued that previous administrations should have blocked such access years ago but that it was allowed again by "Sleepy Joe Biden."
The United States has characterized Canada's rules on U.S. liquor and its dairy quotas as discrimination against American companies, imposing 50% tariffs on $20 billion worth of Canadian goods since the 22nd of last month. Canada retaliated by levying tariffs of 15% to 50% on $20 billion worth of U.S. goods starting on the 8th. Trump then announced the plan to push Canadian products out of the U.S. government procurement market, in a further round of retaliation.
The measure is seen as an attempt to rally domestic support ahead of November's midterm elections by highlighting what Trump portrays as Canada's unfair treatment. Still, because Canada has targeted its tariffs at products made mainly in battleground states, discontent is also growing among voters in those regions as their export markets narrow.
