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Writer's pictureBy The Financial District

Canada Prepares Retaliatory Measures Against Trump’s Tariff Threat

The Canadian government is preparing billions of dollars in retaliatory actions on U.S. exports if President-elect Donald J. Trump follows through on his threat to impose a 25% tariff on Canadian goods.


Canada is drafting a list of countermeasures, including tariffs on U.S. goods and levies on key Canadian exports to the U.S.



This sets the stage for a potential clash between the two countries, which are each other’s largest trading partners. Matina Stevis-Gridneff reported the development for The New York Times.


Canada is drafting a list of countermeasures, including tariffs on U.S. goods and levies on key Canadian exports to the U.S., but the government has stated it will wait for Trump’s next steps before implementing them.



"Everything is on the table," Prime Minister Justin Trudeau said during a news conference in Ottawa, flanked by provincial leaders.


Trudeau has spent much time consulting with these leaders to prepare for the potential fallout. Trump argues that Canada’s trade surplus with the U.S. represents unfair trade practices, though experts widely dismiss this characterization.



Meanwhile, Canada is also increasing border security, deploying Blackhawk helicopters and additional drones to monitor for undocumented migrants and drug smuggling.


In a more dramatic twist, Trump has made comments suggesting Canada could be annexed as another U.S. state, reportedly using economic threats to achieve this aim. Trudeau countered the statement humorously, remarking that Canada might also be interested in acquiring parts of Vermont and California.




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