U.S. President Donald Trump has declared a trade war on Canada, prompting the federal government, provinces and territories to launch their own countermeasures to hit back at the American economy.
Trump imposed a 25 per cent tariff on virtually all goods from Canada and a lower 10 per cent tariff on Canadian energy products. That means there will be a fee on Canadian products entering the United States — and those costs will likely be passed on to American consumers.
Likewise, the Canadian government has pledged to hit the U.S. with retaliatory 25 per cent tariffs on $155 billion worth of American goods coming into Canada. There will be an immediate $30 billion implemented on Tuesday, and the remaining $125 billion in 21 days.
Those are the topline figures, but there’s a slate of other actions the federal government and provinces are considering or have already begun to enact. Let’s break down all the ways Canada is striking back against Trump’s tariffs:
The federal government
According to a news release from the Department of Finance, the first $30-billion phase of the Canadian counter-tariff response will hit American products like orange juice, peanut butter, wine, spirits, beer, coffee, appliance, apparel, footwear, motorcycles, cosmetics and pulp and paper.
The second, $125-billion phase will include products like passenger vehicles and trucks, steel and aluminum products, certain fruits and vegetables, aerospace products, beef, pork, dairy, recreational vehicles and recreational boats, the news release said.
Finance Minister Dominic LeBlanc said in an interview on Rosemary Barton Live that the first phase is largely “consumer goods that we would import from the United States for which there is a replacement” from other countries.
Chief political correspondent Rosemary Barton speaks with Minister of Finance Dominic LeBlanc about Canada’s plans to respond to blanket tariffs imposed by U.S. President Donald Trump.
LeBlanc acknowledged that putting counter-tariffs does add economic challenges for Canadians, who will likely need to pay more from American goods under scrutiny.
Therefore, LeBlanc said, the federal government and provinces have an obligation to support workers and people “unjustly affected by this American decision.”
Opposition parties like the NDP have called on the federal government to recall Parliament and pass legislation to protect Canadian workers and businesses from the American tariffs.
When asked if he would recall Parliament, Prime Minister Justin Trudeau said Saturday night the federal government currently has the tools it needs to mount a response to Trump’s tariffs.
Trump has claimed that fentanyl flowing…
Read More: Here are all the ways Canada is striking back against Trump’s tariffs
