In a strong countermeasure against U.S. President Donald Trump’s tariffs, Canada has unveiled a sweeping plan to retaliate with new tariffs targeting American goods. The Canadian government’s decision, detailed by Global News, is designed to challenge U.S. trade policies head-on.
On Saturday, Prime Minister Justin Trudeau revealed that Canada would impose immediate tariffs on $30 billion worth of U.S. products. Additionally, a second wave of tariffs totaling $125 billion will be introduced in 21 days. The phased approach is intended to give Canadian businesses time to adapt and explore alternative supply chains.
On Sunday, Finance Minister Dominic LeBlanc provided specifics on the initial $30 billion list of affected goods, set to take effect on February 4. The list spans a range of products, from skincare and alcoholic beverages to clothing and various food items. In an effort to support businesses, the government will offer a process through which companies can request exemptions from the tariffs.
Canadian officials clarified that the tariffs were not aimed at specific U.S. states, but rather selected based on the strategic importance of certain American exports. The goal is to mobilize stakeholders on both sides of the border, encouraging American voices to pressure President Trump. While officials acknowledged the political influence of certain Republican states, they stressed that this was just one factor in determining the targeted goods.
Mexican President Claudia Sheinbaum also confirmed her country would implement retaliatory tariffs. However, Canadian officials made it clear that their actions were not coordinated with Mexico, despite discussions between Trudeau and Sheinbaum following the U.S. tariff announcement.
Oil Export Tax Not Off the Table
While the government has not provided an estimate of the economic impact of the tariffs, officials noted that detailed studies will take time. Trudeau revealed on February 1 that he had attempted to reach President Trump since his inauguration, but had been unsuccessful.
The second phase of tariffs, which will be unveiled soon, will include a wide range of goods such as cars, trucks, buses, steel, aluminum, aerospace products, and various fruits and vegetables. Officials also indicated that an export tax on oil has not been ruled out.
Canada’s Border Services Agency will soon issue a customs notice to importers, detailing tariff enforcement and compliance requirements. Goods already in transit to Canada will not be subject to the new tariffs.
Support for Local Products Grows
In a call for solidarity, political leaders across Canada urged citizens to support domestic products. “Now is the time to choose products made right here in Canada,” Trudeau tweeted on Sunday. “Check the labels. Let’s do our part. Wherever we can, choose Canada.”
Several provinces, including Ontario, British Columbia, Manitoba, and Newfoundland and Labrador, have announced that U.S. products will be removed from provincial liquor stores starting Tuesday.
Conservative Leader Pierre Poilievre, speaking from Vancouver, reiterated the need for Canada to prioritize its own interests. “Common-sense Conservatives condemn President Trump’s massive, unjust, and unjustified tariffs, which will harm both American and Canadian economies,” Poilievre stated.
Outlining his own seven-point response plan, Poilievre called for a “dollar-for-dollar” tariff strategy, free trade across Canada, and other initiatives. He also emphasized that revenues from the tariffs should be used to fund immediate tax cuts.
Poilievre further argued that tariffs should target U.S. products that Canada can do without, such as steel and aluminum, to minimize the impact on Canadian consumers. He also highlighted the importance of strengthening Canada’s military and securing the borders to address issues like illegal immigration and the influx of fentanyl.
