U.S. President Donald Trump said Tuesday that he is directing the federal agency that oversees government procurement to remove all Canadian-origin products from its "awards schedules" after Ottawa's retaliatory tariffs came into effect.
In a post on social media, Trump said "the Canadian Government, including Canadian Provinces, have banned American Small Businesses and Companies from selling into their Government Procurement Markets."
"That is not reciprocity, it is a Canadian Trade Scam," Trump posted. "From now on, NO RECIPROCITY — NO ACCESS!"
It was not immediately clear what would be affected by Trump's latest threats, despite the president claiming "those schedules account for more than 50 BILLION DOLLARS a year."
Trump's post was the president's first aimed at Canada since Ottawa's tariffs — a response to the 50 per cent duties Washington hit Canada with last month — took effect just after midnight EDT Tuesday.
Trump seemed to be referring to Ottawa's "Buy Canadian" policy, which was launched after the president targeted Canada with tariffs and threats of annexation.
In September 2025, Canada enacted the new policy to prioritize Canadian suppliers and products in all federal spending, and to require domestic and foreign suppliers for key defence and construction projects to use Canadian steel and softwood lumber.
Some provinces have implemented similar policies.
The United States also has a "Buy America" policy that prioritizes domestic purchasing in key sectors. Former Democrat president Joe Biden implemented an array of protectionist procurement rules that Trump has kept in place or expanded.
Earlier Tuesday, Prime Minister Mark Carney warned that Canada's pivot away from the United States will come at a cost, but the alternative would be far worse.
"In the spring of last year, I warned that America is trying to break us so they can own us. And I promised that that will never, ever happen," Carney said in a national address posted on social media.
On Aug. 22, Trump imposed tariffs on nearly $28 billion worth of Canadian goods, from hockey sticks and cement to honey, after trade talks broke down. Each country accused the other of making last-minute demands.
Carney has insisted that trade talks fell apart because the U.S. attempted to limit Canada's ability to trade with other counties, made demands affecting Canada's ability to protect and promote the French language, and would not move enough on tariffs affecting the auto sector.
Canada's reciprocal tariffs target the same value in U.S. goods, all drawn from the list of products being tariffed by the United States. They include dairy products, plywood and sunscreen.
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In the hours before the new Canadian tariffs took effect, Trump took to social media with some new anti-Canada rants — including an AI-generated cartoon showing him as a hockey player whacking his stick at Carney and shouting, "Get up governor."
But the White House — which has not responded to a request for comment — and Trump were uncharacteristically quiet after the duties were implemented.
Trump's Treasury Secretary Scott Bessent on Tuesday repeated his claim that Trump offered Canada the best trade deal and said he’s not sure why Carney walked away.
He told right-wing Breitbart News that "we will see if this can be walked back," while downplaying the impact of Canada's tariffs on the U.S. economy.
"If I were the Canadians I would be careful because they wanted the benefits of being a state without being a state," Bessent said. "Now that the arrangements may be splintering everyone's going to be coming to our side."
Since negotiations fell apart last month, Trump has taken aim at Canada almost daily. He signed an order to rename Lake Ontario as "Lake America" and has issued social media posts about the Canadian dollar.
Trump on Monday threatened to prevent Quebec's Bombardier from selling in the United States unless it builds its aircraft there. In a lengthy statement, the company cited the thousands of people it employs at more than 20 locations across the United States.
The Canadian American Business Council said it was deeply concerned by the continued escalation of the trade war.
In a statement, the council encouraged both countries "to return to constructive negotiations and pursue a durable, mutually beneficial trade arrangement."
The Canadian Federation of Independent Business has warned that small businesses could close due to the trade war despite Ottawa's announced supports.
Conservative Leader Pierre Poilievre repeated his call for more transparency from Carney on Tuesday, posting on social media that the prime minister should release the full cost of the retaliatory tariffs.
Carney's comments indicate that Ottawa is preparing for a lengthy battle as Trump's aim at Canada is proving to be very unpopular with Americans ahead of a critical midterm election in November.
An Ipsos/Reuters poll published last week found only 20 per cent of Americans supported higher tariffs on Canada. It also suggested two-in-three Americans disapproved of the Great Lake's name change.
This report by The Canadian Press was first published Sept. 8, 2026.
— With files from Alessia Passafiume and Nick Murray in Ottawa and The Associated Press
