Canadian Prime Minister Justin Trudeau has announced that Canada would impose 25 per cent tariffs on $155bn worth of United States goods in response to new tariffs introduced by the Donald Trump administration.
The retaliatory measures are set to take effect at 12:01 a.m. on Tuesday, mirroring Trump’s decision to impose a 25 per cent tariff on imports from Canada and Mexico, as well as a 10 per cent tariff on goods from China.
Trudeau criticised the US tariffs, noting that “there is no justification for these actions,” pointing to the White House’s argument that the flow of drugs, including fentanyl, into the US warranted the tariffs on Canada, Mexico and China, though the amount of fentanyl coming across the northern border is very low.
“While less than one of the fentanyl intercepted at the US border comes from Canada, we have worked relentlessly to address this scourge that affects Canadians and Americans alike,” Trudeau said in a statement on Monday reported by Fox Business.
“We implemented a $1.3 billion border plan with new choppers, boots on the ground, more co-ordination, and increased resources to stop the flow of fentanyl.”
He continued, “We appointed a Fentanyl Czar, listed transnational criminal cartels as terrorist organizations, launched the Joint Operational Intelligence Cell, and are establishing a Canada-US Joint Strike Force on organised crime.
“Because of this work – in partnership with the United States – fentanyl seizures from Canada have dropped 97 per cent between December 2024 and January 2025 to a near-zero low of 0.03 pounds seized by US Customs and Border Protection.”
According to Fox Business, in his statement, Trudeau made it clear that Canada would not let the US decision go unanswered. The first round of tariffs will target $30 billion worth of US goods, followed by an additional $125bn in tariffs after 21 days.
Trudeau warned that the tariffs could result in higher prices for American consumers, affecting goods like groceries, gas, and cars. He also cautioned that the tariffs could lead to job losses in the US and disrupt the long-standing trade relationship between the two nations.
He reiterated that Canada would remain firm in defending its economy and workers, emphasising the importance of a fair trade agreement.
The PM said Canada “will not let this unjustified decision go unanswered”
“Our tariffs will remain in place until the US trade action is withdrawn, and should US tariffs not cease, we are in active and ongoing discussions with provinces and territories to pursue several non-tariff measures.
“While we urge the US administration to reconsider their tariffs, Canada remains firm in standing up for our economy, our jobs, our workers, and for a fair deal.
“Tariffs will disrupt an incredibly successful trading relationship.They will violate the very trade agreement that was negotiated by President Trump in his last term,” the prime minister said.
