Trump Orders Exclusion of Canadian Products from Federal Procurement Market in Response to Canadian Retaliatory Tariffs

Canada Imposes Tariffs at 12:01 a.m. on September 8
Trump: "Not Reciprocity, but Trade Fraud"

On the same day that Canada imposed retaliatory tariffs on $20 billion worth of U.S.-made goods, U.S. President Donald Trump ordered that Canadian products be excluded from the U.S. federal procurement market.

On September 8 (local time), President Trump announced via Truth Social, "I have directed the General Services Administration (GSA) to take all necessary measures to exclude Canadian products from the Multiple Award Schedule (MAS) until Canada provides full and fair reciprocity to American farmers and businesses."

U.S. President Donald Trump. White House

The MAS is a procurement system that allows U.S. federal agencies to purchase goods and services from multiple pre-contracted suppliers. President Trump stated that annual procurement through the MAS exceeds $50 billion (approximately 67 trillion won). However, he did not disclose the proportion of Canadian products involved, which items would actually be excluded, or when implementation would begin.

This directive came immediately after Canada imposed retaliatory tariffs of 15%, 25%, and 50% on $27.6 billion Canadian dollars (about $20 billion) worth of U.S. imports from 12:01 a.m. that day. The affected items include steel and aluminum, dairy products, home appliances, agricultural machinery, pulp and paper, and electronics.

Canada's action is a direct response to the U.S. imposing tariffs of up to 50% on Canadian products of a similar scale starting from July 22. With tariff retaliation escalating following a collapse in trade negotiations between the two countries, President Trump’s move to use the federal procurement market as additional leverage has further intensified the trade dispute.

President Trump stated, "Everyone knows that Canada prevents America’s great dairy farmers from selling their products in the Canadian market, and that the only reason Canada is able to produce cars is due to the disastrous trade deals signed by past U.S. presidents."

He further asserted, "The Canadian federal and provincial governments have been preventing U.S. small businesses and firms from selling products in the Canadian government procurement market," adding, "Meanwhile, Canada enjoys broad access to U.S. government procurement markets, including those of the state governments." He characterized this as "not reciprocity, but trade fraud," and emphasized, "From now on, if there's no reciprocity, there will be no market access."

This content was produced with the assistance of AI translation services.