Trump Tariffs Target Canada Jets and Cuba Oil Amid Gold Pullback

Date: 30 Jan 2026 02:56 PM

US President Donald Trump has threatened to impose 50% tariffs on Canadian-made aircraft in retaliation for Canada’s refusal to certify several Gulfstream business jets, while also stating intentions to decertify all Canadian-built planes, a claim later clarified by the White House as not applying to aircraft already in operation. Simultaneously, Trump issued an executive order announcing new tariffs on countries that sell or supply oil to Cuba, intensifying pressure on the island nation’s government, which he described as posing an “unusual and extraordinary threat” to the United States. The moves come amid strained US-Canada relations following Canadian Prime Minister Mark Carney’s recent engagement with China and his criticism of shifts in the global order, as well as ongoing US efforts to isolate Cuba economically after the fall of Venezuela’s Maduro regime and the resulting cutoff of Venezuelan oil supplies to the island.

Gold prices (XAU/USD) faced renewed selling pressure on Friday, dipping below $5,200 after a brief recovery attempt, primarily due to a strengthening US Dollar fueled by optimism surrounding a bipartisan Senate deal to fund the government—particularly a temporary extension for the Department of Homeland Security—and avert a partial shutdown. This development prompted profit-taking among investors following gold's explosive 25%+ rally this month, which included multiple record highs. Despite the pullback, downside risks for the precious metal remain limited by ongoing concerns over potential threats to Federal Reserve independence ahead of President Trump's anticipated Friday morning announcement of his nominee to replace Jerome Powell (with speculation centering on Kevin Warsh), expectations for lower US interest rates, persistent trade tensions including tariff threats, and elevated geopolitical risks in the Middle East and Ukraine, all of which continue to bolster gold's safe-haven appeal. Traders are now eyeing the upcoming US Producer Price Index release, FOMC commentary, and the Fed chair reveal for fresh directional cues.

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