The United States threatens Canada with a double whammy of duties: tariffs may rise to 50%

The duties applied to Canada are supposed to be introduced on a cumulative basis, according to data provided by the White House. 

There is a possibility that the United States will introduce a number of tariffs in the coming month, which were previously announced as a threat. At first glance, it may seem impossible for all these measures to add up to one colossal sum. However, the administration of US President Donald Trump says the opposite, stressing that the result could be an increase in tariffs of up to 50% as early as next month.

At the moment, the United States is considering two main areas: the introduction of 25% duties on steel and aluminum at the global level from March 12, as well as the temporary lifting of the threat of similar duties for Canada and Mexico until March 4. This suspension is in effect as part of the ongoing border security negotiations with both countries.

Upon request for clarification on how exactly these measures will be combined, the White House explained that if the previously frozen tariffs are restored, they will begin to act together. Thus, the increase will be «25% plus another 25%», which will lead to a cumulative increase.