U.S. President Donald Trump on Thursday signed an executive order increasing tariffs on Canadian goods to 35% from 25% on all products not covered by the U.S.-Mexico-Canada trade agreement, the White House said.

Canada, one of the U.S.’s largest trading partners, was not able to reach a deal with the White House, who instead raised tariffs on some Canadian goods. “Relationships matter,” says Former U.S. Ambassador to Canada David Cohen,

In a pair of executive orders, the president increased tariffs on merchandise from about 70 countries and raised the rate on products made in one of the United States’ largest trading partners, Canada, to a punitive 35%.