Canada to Make Robust Response to Proposed US Tariffs


TEHRAN (Tasnim) – Canada will make a robust response if US President-elect Donald Trump imposes steep tariffs on Canadian goods, Canadian Deputy Prime Minister and Finance Minister Chrystia Freeland said Friday.

"In the event that the United States were to impose unjustified tariffs on Canada, of course we would respond. The Canadian response would necessarily be robust. I am confident that it would be effective," Freeland said, Xinhua reported.

Freeland, who is leading the cabinet committee on Canada-US relations, said Canada's previous experience with tariffs during Trump's first term in office led to a great outcome.

Trump triggered a nearly yearlong trade war in 2018, imposing a 25 percent tariff on Canadian steel products and a 10 percent one on Canadian aluminum.

In response, Canada introduced a 25 percent counter tariff on a long list of American steel and aluminum products, along with a 10 percent surtax on miscellaneous US goods including coffee, prepared meals and maple syrup. Those retaliatory levies were eventually lifted in 2019 after Canada, the United States and Mexico reached a deal, local media reported.

"For a Canadian response to be strong and effective, Canada needs to be united, and that's why we need to have good ongoing conversations with the premiers of provinces and territories," Freeland said.

On Wednesday, Canadian Prime Minister Justin Trudeau held a virtual meeting with provincial and territorial leaders to discuss Trump's threat to impose 25 percent tariffs on all Canadian and Mexican imports unless both countries stop illegal immigration and the smuggling of the opioid fentanyl into US territory.

After the meeting, Doug Ford, premier of Canada's most populous province Ontario, warned of cutting off electricity to the United States as a last resort.

The federal government is currently working on a list of potential retaliatory measures, local media reported.