Canada Imposes 25% Tariffs On US Goods
Canadian Prime Minister Justin Trudeau has announced that Canada will impose 25% tariffs on $155 billion worth of U.S. goods in direct response to new tariffs introduced by the Trump administration.
The retaliatory measures, set to take effect at 12:01 a.m. on Tuesday, mirror President Donald Trump’s decision to impose a 25% tariff on imports from Canada and Mexico, along with a 10% tariff on goods from China.
Trudeau Condemns U.S. Tariffs
Trudeau sharply criticized the U.S. tariffs, calling them unjustified. He pushed back against the White House’s claim that the tariffs were necessary to combat the flow of fentanyl into the U.S. from Canada, Mexico, and China.
“There is no justification for these actions,” Trudeau said in a statement reported by Fox Business. “While less than 1% of the fentanyl intercepted at the U.S. border comes from Canada, we have worked relentlessly to address this scourge that affects Canadians and Americans alike.”
Trudeau highlighted Canada’s efforts in tackling fentanyl trafficking, pointing to a $1.3 billion border security plan that includes additional helicopters, increased law enforcement presence, and better intelligence-sharing.
He added that Canada had taken significant steps, including appointing a Fentanyl Czar, classifying transnational criminal cartels as terrorist organizations, launching the Joint Operational Intelligence Cell, and working on a Canada-U.S. Joint Strike Force to combat organized crime.
“Because of this work – in partnership with the United States – fentanyl seizures from Canada have dropped 97% between December 2024 and January 2025, reaching a near-zero low of 0.03 pounds seized by U.S. Customs and Border Protection,” Trudeau said.
Canada Warns of Economic Fallout
Trudeau made it clear that Canada would not leave the U.S. trade action unanswered. The first round of tariffs will target $30 billion worth of American goods, with an additional $125 billion in tariffs set to follow after 21 days.
He warned that the tariffs could drive up prices for American consumers on essential goods such as groceries, gasoline, and automobiles. He also cautioned that the escalating trade dispute could lead to job losses in the U.S. and disrupt the longstanding economic relationship between the two countries.
“Our tariffs will stay in place until the U.S. withdraws its trade action,” Trudeau stated. “If the U.S. continues its tariffs, we are actively discussing non-tariff measures with provinces and territories.”
The prime minister urged Washington to reconsider its stance, emphasizing Canada’s commitment to defending its economy, workers, and trade agreements.
“Tariffs will disrupt a highly successful trading relationship and violate the very trade agreement President Trump negotiated in his last term,” he said.
As tensions rise between the two allies, economic analysts warn that prolonged tariff battles could have lasting consequences for both economies, further straining an already fragile global trade environment.
