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Canada retaliates with $155 billion in tariffs on US goods
Published in The Saudi Gazette on 02 - 02 - 2025

Canadian Prime Minister Justin Trudeau announced on Saturday that Canada will impose CAN$155 billion (US$106 billion) in tariffs on American products in response to new US trade restrictions, marking a major escalation in economic tensions between the two countries.
"Tonight, I am announcing Canada will be responding to the US trade actions with 25% tariffs against $155 billion worth of American goods," Trudeau said at a press conference following an emergency meeting with Canada's provincial premiers.
The first wave of $30 billion in tariffs will take effect on Tuesday, coinciding with the start of the US-imposed tariffs. An additional $125 billion in tariffs will be enacted in the coming days. While specific goods targeted by US tariffs were not disclosed, Trudeau confirmed that some American imports, including alcohol, will face new Canadian tariffs.
Trudeau emphasized that Canada's federal and provincial governments are united in the trade standoff. "We are united. We will stand tall for Canada," he said.
However, the prime minister also questioned why US President Donald Trump had chosen to impose tariffs on Canada, a key ally and trade partner. Foreign Minister Mélanie Joly echoed his sentiments, calling the US measures "completely unjustifiable."
"Canadians have been nothing but the strongest allies and the best neighbors to the United States," Joly wrote on X. "Canada will not back down."
Ontario Premier Doug Ford strongly condemned Trump's tariffs, calling them "unjustified, unfair, and frankly illegal," arguing that they violate free trade agreements between the US, Canada, and Mexico.
When asked whether Canada still considers the US an ally, Trudeau refrained from directly affirming the relationship, instead calling the US a "friend" and "partner."
Trump has justified the tariffs by citing concerns over drug smuggling and illegal immigration, particularly the flow of fentanyl from Canada into the US.
However, Canadian officials argue that the vast majority of fentanyl enters the US through Mexico, and a CAN$1.4 billion plan by Canada to curb drug smuggling was ignored by Trump.
The new US tariffs include a 25% duty on nearly all Canadian imports and a 10% tariff on Canadian oil exports.
Ford suggested that Trump's true motive may be an attempt to "break Canada" and force it into becoming the 51st US state.
"He thinks he can buy Canada. He doesn't know what we know—the Canadian spirit can never be broken, and Canada is not for sale," Ford said from Windsor, Ontario.
British Columbia Premier David Eby stressed the need for Canada to diversify its trade partnerships, warning against future economic reliance on the US.
"We will never again be beholden to the whims of one person in the White House," Eby stated after the high-level talks between Trudeau and Canada's provincial leaders.
Economic experts warn that if the tariffs remain in place, they could devastate the Canadian economy, trigger a recession, and drive up the cost of living. Prices for essential goods, including groceries, are expected to rise in both Canada and the US, as businesses absorb the impact of the tariffs. — Agencies


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