President Donald Trump’s announcement that he was considering putting a 25% tariff on Canada and Mexico on February 1, top Canadian officials stated Monday that their country would be prepared to retaliate.
In addition to stating that they “will continue to work on preventing tariffs,” Canadian Foreign Minister Melanie Joly added that they are “working on retaliation.”
Trump has threatened to impose broad tariffs on trading partners, including Canada and Mexico. Late Monday night in the Oval Office, Trump stated, “We’re thinking in terms of 25% on Mexico and Canada.” “I think it’s February 1st.”
It’s still unclear when potential tariffs would be implemented. Trump issued an executive order asking for a report by April 1st that is managed by the Secretary of Commerce.
Despite the fact that domestic importers now pay these levies, which are frequently passed on to consumers, Trump promised in his inauguration address that tariffs would be implemented and that foreign nations would bear the cost of the trade penalties.
Trump can be unpredictable, according to Canadian Finance Minister Dominic LeBlanc. “None of this should be surprising,” he stated. “Our country is absolutely ready to respond to any one of these scenarios.”
Earlier, Canadian authorities expressed relief that the tariffs were not implemented on Trump’s first day in office. 75% of Canada’s exports, including autos and components, go to the United States, making it one of the most trade-dependent nations in the world.
For 36 U.S. states, Canada is their biggest export destination. Every day, goods and services valued at around $3.6 billion Canadian (US$2.7 billion) pass the border. Canada provides 25% of the oil that the United States uses daily, despite Trump’s claim that the country is unnecessary.
“It would be a mistake for the American government to proceed with imposing tariffs, in terms of the cost living in the United States, in terms of jobs in the United States and the security of supply chains,” LeBlanc stated.
