OTTAWA, CANADA — Canadian Prime Minister Justin Trudeau warned that Canada would retaliate with counter-tariffs if U.S. President Donald Trump follows through with his threat to impose a 25% tariff on goods from Canada and Mexico, set to take effect on February 1. The proposed tariffs are part of Trump’s broader strategy to curb illegal migration and drug trafficking, including fentanyl shipments into the United States.
Trudeau emphasized Canada’s willingness to respond dollar-for-dollar should the U.S. proceed with the tariffs, while also expressing a preference for negotiating a solution to avoid a trade war. Speaking at a press conference in Quebec on Tuesday, Trudeau said, “I support the principle of dollar-for-dollar matching tariffs. It’s something that we are absolutely going to be looking at if that is how they move forward.”
The proposed tariffs would affect goods coming into the U.S. from its two largest trading partners, Mexico and Canada. During a media interview on Monday, Trump stated, “We are thinking in terms of 25% on Mexico and Canada because they’re allowing vast numbers of people to come in and fentanyl to come in. I think we’ll do it Feb. 1.”
While Trudeau expressed his desire for a cooperative approach, he also emphasized Canada’s key role in providing essential goods for the U.S. economy, such as energy, lumber, steel, and critical minerals. “Canada has all that in an extraordinarily reliable and close partner,” Trudeau noted.
Ontario Premier Doug Ford took a more combative stance, accusing Trump of declaring an economic war on Canada. “We are going to use every tool in our tool box to defend our economy,” Ford said in an interview with The Associated Press.
Meanwhile, in Mexico, President Claudia Sheinbaum called for “cool heads” in response to Trump’s tariff threats. She noted that such tariffs would violate the United States-Mexico-Canada Agreement (USMCA) trade pact signed by Trump in 2020. Sheinbaum confirmed that bilateral talks are underway to resolve the issue, stressing the importance of respectful dialogue between the nations.
Sheinbaum’s comments came after Mexican Foreign Minister Juan Ramon de la Fuente engaged in a cordial discussion with new U.S. Secretary of State Marco Rubio about migration and other topics.
In addition to the Canada and Mexico threats, Trump is also considering a 10% tariff on Chinese imports. The U.S. has long been engaged in a trade dispute with China, particularly over issues like fentanyl trafficking, and Trump’s new threat is aimed at combating the flow of drugs from China into North America.
Trump’s tariff proposal comes amid rising tensions in global trade, with Chinese officials warning that there are “no winners” in a trade war. Chinese Vice Premier Ding Xuexiang, speaking at the World Economic Forum in Davos, Switzerland, stated, “Protectionism leads nowhere. Trade war has no winners.”
As the Trump administration mulls additional tariffs, freight shipments from China to the U.S. have been surging, reflecting the ongoing global economic shifts and tensions.
The international community now watches closely as the U.S., Canada, Mexico, and China navigate these escalating trade tensions.
