Trump signs memorandum to identify and remove Canadian products from U.S. federal procurement

U.S. President Donald Trump moved Wednesday to remove Canadian goods from U.S. federal procurement. (Jonathan Ernst/Reuters)Social SharingU.S. President ‌Donald Trump ​signed a presidential ​memorandum on ​Wednesday to ⁠identify ⁠Canadian-origin goods ‌in federal ⁠civil government procurement ‌and take steps ​to remove ⁠them, ⁠the ⁠White ⁠House ​said.

The move came a week after Trump banned the import of Canadian alcohol, motorcycles and various other products into the U.S. in an escalation of the trade war.

In the memo, Trump directs the U.S. Trade Representative and the Office of Management and Budget to "take steps" to identify items of Canadian origin that could be "removed or made non-available for purchase" from the federal government's procurement system. 

The memo does not appear to order an immediate ban on government agencies purchasing Canadian products but could open the door to restrictions in the future. 

The White House did not immediately respond to a CBC News query about what value of goods could be affected by the move. 

The U.S. government has procured on average about $1.6 billion US worth of Canadian products annually since 2021, says Canada-U.S. trade expert Eric Miller, based on his analysis of published spending data.   

Miller, president of Rideau Potomac Strategy Group, says Trump's memo appears to be a reaction to some Canadian provinces putting some limits on U.S. companies bidding on government contracts.

"The U.S. would argue that this is levelling the playing field with the restrictions that Canadian provinces have put on," Miller told CBC News.

Can Canada actually win a trade war with the U.S.? | About That

The memorandum also directs the U.S. trade representative to monitor Canada's treatment of U.S. origin goods in Canadian government procurement.

Canada stood its ground on trade with the U.S. What happens when the cost hits home?

U.S. Federal Reserve raises interest rates for 1st time in 3 years

The latest round of U.S. tariffs on Canadian goods took effect just after midnight Tuesday, adding 50 per cent levies to more than 100 products, including specific cheeses, motorboats, all-terrain vehicles (ATVs) and furniture. 

The ongoing trade war ramped up in recent weeks after the U.S. and Canada failed to reach a trade agreement in August.

On Aug. 22, the U.S. followed through on a threat of 50 per cent tariffs on a wide swath of Canadian goods. Canada retaliated with its own tariffs on nearly 700 categories of U.S. goods, which came into effect on Sept. 8.