Washington DC - President Donald Trump on Tuesday escalated his trade war on Canada by banning imports of alcohol and various products from the US' northern neighbor while raising tariffs on others.

Canadian Prime Minister Mark Carney stood firm in response to Trump's latest attack, acknowledging that reducing economic ties with the US would come at a cost but saying the benefits would outweigh the pain.

A range of Canadian products, from mattresses to motorboats and golf carts, will be subject to a 50% surcharge beginning September 15, according to an executive order issued by Trump late on Tuesday.

The import ban, which targets various alcoholic beverages as well as some dairy products like whey, will come into effect on September 29, according to several additional orders.

Canada Canadian leader unveils massive troll of Trump: "Will NEVER be the 51st state"

Canada's retaliatory tariffs came into effect earlier on Tuesday, applying to $20 billion in US imports, including steel and aluminum products and dairy goods such as cheese. The move came in response to a tariff regime imposed by Washington on August 22.

Canada has "everything we need to pivot and prosper," Carney said in a video address. "That pivot will come at a cost. There's always a cost to action. But it doesn't come close to the cost of standing still."

Responding to the latest Canadian levies, Trump pledged to restrict Canadian companies from securing US government contracts.

In a Truth Social post earlier Tuesday, Trump said he was directing officials "to REMOVE Canadian-origin products from GSA's Multiple Award Schedules," referring to a General Services Administration program for long-term contracts.

On Monday, Trump threatened to try to block sales of Canada's Bombardier Aviation unless the Quebec-based plane maker moves manufacturing to the US.

In response, the aerospace company pointed to its creation of tens of thousands of jobs across the US, with direct employment in more than 20 states.