US President Donald Trump has lobbed a diplomatic grenade at his northern neighbour, threatening to slap a punitive 100% tariff on all Canadian goods if Prime Minister Mark Carney proceeds with a controversial trade deal with Beijing.

In a blistering attack launched via his Truth Social platform, Trump accused Canada of becoming a “Trojan Horse” for the Chinese Communist Party. The rhetoric was apocalyptic: “China will eat Canada alive, completely devour it, including the destruction of their businesses, social fabric, and general way of life,” Trump wrote, invoking imagery of total economic annihilation.

The “Drop Off Port” Accusation

At the heart of the dispute is Ottawa’s decision to lower barriers for Chinese electric vehicles (EVs). In a swap that has enraged Washington, Canada agreed to allow 49,000 Chinese EVs into its market at a reduced tariff of 6.1%, in exchange for China lowering duties on Canadian canola. Trump sees this as a backdoor for China to flood the North American market, bypassing US protectionist walls.

“If Governor Carney [sic] thinks he is going to make Canada a ‘Drop Off Port’ for China to send goods… he is sorely mistaken,” Trump fired, deliberately mislabeling Prime Minister Carney as “Governor”—a dig at Carney’s past role as Governor of the Bank of England and Bank of Canada.

Economic Shockwaves

For Kenya and the developing world, this Titan-level clash sends tremors through the global economy. A 100% tariff on Canadian goods entering the US would effectively sever one of the world’s largest trading relationships. The ripple effects would likely spike global inflation and disrupt supply chains, potentially weakening the Kenya Shilling (currently trading at approx. KSh 135 to the dollar) as investors flee to the safety of the US dollar.

The Trigger: Canada’s EV-for-Canola deal with China.
The Weapon: 100% tariffs on all Canadian exports to the US.
The Context: Trump’s “America First” doctrine clashing with Carney’s multilateralism.

Carney’s Davos Defence

The threat comes just days after PM Carney delivered a speech at the World Economic Forum in Davos, subtly criticizing American isolationism. “We are masters in our own house,” Carney declared, rejecting the notion that Canada exists merely as a US satellite state. Trump’s response is a brutal reminder of the raw power dynamics at play.

As Washington and Ottawa stare each other down, the world holds its breath. If implemented, these tariffs wouldn’t just hurt Canada; they would rewrite the rules of global trade, forcing nations like Kenya to choose sides in an increasingly bipolar economic order.