Trump assails Canadian tariffs, accuses people of smuggling USA goods home

U.S. President Donald Trump again slammed Canada over a trade dispute and claimed that Canadians are buying common products in the U.S. and having to "smuggle" them back into the country because of high tariffs.

"They fought World War II with us".

"They buy shoes and they wear 'em. We appreciate it. They fought World War I with us, and we appreciate it, but we're protecting each other", he said before lashing out at NAFTA and Canadian tariffs on U.S. dairy products.

"People living in Canada coming into the United States and smuggling things back into Canada because the tariffs are so massive". They scuff them up. They make them sound old or look old.

The Canadian government believes a deal to update NAFTA is still possible despite a US move to impose tariffs on Canadian and Mexican steel and aluminum, Foreign Minister Chrystia Freeland said in Ottawa on Tuesday. "No, we're treated horribly".

But then the president railed against the North American Free Trade Agreement between the U.S., Canada, and Mexico.

Trump also pointed to a news article about Canadians smuggling in American goods.

The president, who called NAFTA "one of the worst deals ever made by this country, a disaster", said again he may pursue separate deals with Mexico and Canada instead of sticking with the three-nation deal. "And I think we all agree that it is important for Canada to stand up in defence of the worldwide rules-based order, and we will do so". Many are reminding the President that we have our own shoe stores on this side of the border, while others are just making a big joke of the whole situation.

Negotiations to modernize NAFTA started last August and were initially scheduled to finish by the end of December 2017.

Also, goods made in other countries but bought in the U.S. have tariffs assessed based on their home country rather than the USA rate.

The comments came as Trump tries to justify an escalating trade battle with Canada over new steel and aluminum tariffs from the Trump administration.

Trump told the crowd that the USA needs to change how it treats its neighbours.

Speaking to a gathering of small business owners in Washington, Trump again blasted the North American Free Trade Agreement, saying the USA can no longer afford to be the "stupid country".

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