The President of the United States, Donald Trump, has issued a warning to Canada stating that he will intensify the trade dispute following the announcement by Canadian Prime Minister Justin Trudeau of retaliatory tariffs on American goods.
The tariffs imposed by Trump, which amount to 25% on imports from Mexico and Canada, came into effect on Tuesday. This move led Trudeau to declare retaliatory tariffs on over $100 billion worth of US goods, which will be enforced within 21 days.
Trump responded via Truth Social, the social media platform he owns, saying: “I urge Governor Trudeau of Canada to understand that if he imposes a retaliatory tariff on the US, our equivalent tariff will immediately increase by a similar amount!”
Recently, Trump has repeatedly referred to the Canadian Prime Minister as the “governor” of Canada, and has even called for Canada to become the 51st state of the US.
Trudeau, speaking to reporters in Ottawa on Tuesday, criticized Trump’s trade war as “foolish” and suggested that the US president’s ultimate goal is to fully integrate Canada into the US. Trudeau stated confidently that this scenario will never transpire. He emphasized that such actions by Trump will harm both countries’ economies and their citizens.
Vina Nadjibulla, Vice President of Research and Strategy at the Asia Pacific Foundation of Canada, warned that the trade dispute will negatively impact consumers, businesses, and the economy of both Canada and the US within a matter of weeks.
Canada has expressed its intention to challenge the US’s measures through the World Trade Organization and the US-Mexico-Canada trade agreement.
Trudeau affirmed that Canadians are reasonable and polite, but they will not shy away from a fight. He will be stepping down as Prime Minister once the Liberal Party selects a new leader on Sunday.
Ontario Premier Doug Ford announced a 25% export tax on electricity sold to the US, with the possibility of cutting off exports completely if the US tariffs persist. Ontario supplied power to 1.5 million homes in Michigan, New York, and Minnesota in 2023.
‘No Justification’
Meanwhile, Mexican President Claudia Sheinbaum, along with Canada and China, has vowed to retaliate against the tariff increases imposed by the Trump administration.
During a press conference in Mexico City, Sheinbaum stated: “There is absolutely no valid reason or justification for this decision, which will negatively impact our people and nations.” She indicated that Mexico will unveil the specific US products targeted by retaliatory tariffs on Sunday.
Sheinbaum criticized a “fact sheet” released by the White House on Monday, which alleged that Mexican drug trafficking persists due to a problematic relationship with the government. She denounced these claims as offensive, defamatory, and unsubstantiated.
Recently, Mexico’s government seized over a tonne of fentanyl, shut down 329 methamphetamine labs, and extradited 29 drug cartel members to the US. Trump has accused Ottawa of not doing enough to combat fentanyl trafficking, a claim Trudeau has vehemently denied.
Furthermore, Beijing has announced retaliatory tariffs of up to 15% on various US agricultural exports and has expanded restrictions on a number of US companies.