Canada's Prime Minister Justin Trudeau has announced that Canada will take immediate action in response to the United States administration's decision to impose tariffs on Canadian exports. If the US tariffs go into effect, Canada will retaliate with tariffs on $30 billion worth of US goods.
The US administration has decided to proceed with imposing 25 per cent tariffs on Canadian exports and 10 per cent tariffs on Canadian energy after a 30-day pause. Trudeau expressed strong opposition to these actions, stating that there is no justification for them.
Trudeau highlighted Canada's efforts to combat the flow of fentanyl into the US, emphasizing that less than 1 per cent of intercepted fentanyl at the US border originates from Canada. He outlined various measures taken by Canada, such as implementing a $1.3 billion border plan, appointing a Fentanyl Czar, and establishing joint initiatives with the US to combat organized crime.
In response to the US tariffs, Canada plans to impose 25 per cent tariffs on $155 billion of American goods. The tariffs will be implemented in two phases, starting with tariffs on $30 billion of goods immediately and followed by tariffs on the remaining $125 billion in 21 days if necessary. Trudeau emphasized that Canada's tariffs will remain in place until the US trade action is withdrawn.
Trudeau warned that American consumers could face higher prices for groceries, gas, and cars as a result of the tariffs, potentially leading to job losses. He expressed concern that the tariffs would disrupt the successful trading relationship between the two countries and violate the trade agreement negotiated by former President Trump.
Canada is urging the US administration to reconsider its decision on tariffs while standing firm in its commitment to protect its economy, jobs, and workers. Discussions are ongoing with provinces and territories to explore non-tariff measures if the US tariffs persist.
