Trudeau Slams ‘Unjustified’ Tariffs as Tensions Rise Between US and Canada
Prime Minister Justin Trudeau has vowed that Canada will respond quickly and decisively to the new trade barriers announced by US President Donald Trump. These tariffs, set to come into effect on 12 March, would impose a 25% import tax on all steel and aluminium products entering the US, with Canada being the largest exporter of both metals to the American market.
Trump’s move, part of a broader strategy to safeguard US industries and jobs, has faced criticism not only from Canadian officials but also from economists who warn of higher prices for everyday Americans as a result. The Canadian government has strongly condemned these tariffs, describing them as “entirely unjustified,” given the close economic ties between the two nations. Trudeau has stressed that Canada remains one of the US’s closest allies, despite the current trade dispute.
Countries around the world, including Canada, are scrambling to respond to these measures, which could severely impact the global steel and aluminium markets. The US imports more steel and aluminium from Canada than from any other country, with over six million tonnes of steel and more than three million tonnes of aluminium traded annually.
Canadian Industry Minister François-Philippe Champagne has argued that Canadian exports make North America more secure and competitive, asserting that the new tariffs could harm industries on both sides of the border. Provincial leaders have joined the criticism, with Quebec’s François Legault pointing out that his province alone supplies millions of tonnes of aluminium to the US each year. He questioned whether Trump would prefer sourcing metal from China instead.
Meanwhile, opposition leader Pierre Poilievre has promised to impose matching tariffs on the US if he is elected as Canada’s next prime minister. Catherine Cobden, head of the Canadian Steel Producers Association, warned that industries in both nations could suffer as a result of these protectionist measures, noting that the US and Canada rely on each other’s steel supplies.
Tariffs, which are taxes imposed on imports, have long been a tool in Trump’s economic strategy. The president has argued that these measures will encourage domestic production in the US, but critics suggest that they could increase costs for US consumers as businesses raise prices to offset the new duties.
While US businesses dependent on imports have voiced concerns, Trump remains committed to his vision of addressing the US trade deficit and revitalising American manufacturing. His approach to trade negotiations often includes using tariffs as a bargaining chip.
Since returning to office, Trump has already engaged in one trade dispute with Canada and Mexico, agreeing on 4 February to delay a separate set of tariffs on goods from both countries. This delay was contingent on their cooperation in tackling illegal migration and drug flows to the US.
The ongoing trade tensions between the US and its neighbouring countries, alongside the looming threat of tariffs on European Union goods, signal a volatile period for global trade relations. Trump, however, appears unfazed by the prospect of retaliation, recently stating, “I don’t mind” when asked about potential responses from other countries.
