Canadian Prime Minister Justin Trudeau announced on Tuesday that Canada will impose retaliatory tariffs on U.S. goods following the Trump administration’s decision to enact new trade measures targeting Canada and Mexico. The tariffs, set at 25 percent on over $100 billion worth of American goods, will remain in effect as long as the U.S. maintains its own tariffs. Additionally, Canada will place a 10 percent tariff on U.S. energy imports, which will begin taking effect in three weeks.
The move comes in response to President Donald Trump’s decision to impose a 25 percent tariff on imports from Canada and Mexico, citing continued concerns over drug trafficking. In a post on his Truth Social platform, Trump stated that “drugs are still pouring into our Country from Mexico and Canada at very high and unacceptable levels.” He also pointed to China as a primary supplier of fentanyl, which he said was being trafficked into the U.S. through its neighboring countries.
Trudeau, who has announced he will not seek re-election and is expected to leave office later this year, defended his country’s decision to impose countermeasures. “Let me be unequivocally clear – there is no justification for these actions,” he said in a statement. He also noted that fentanyl seizures at the U.S.-Canada border have decreased by 97 percent from December 2024 to January 2025 after the appointment of a Canadian “Fentanyl Czar” and other enforcement measures.
The Canadian prime minister reached out to the Trump administration in an attempt to halt the tariffs but said his government will stand firm in protecting its economy. “Our tariffs will remain in place until the U.S. trade action is withdrawn,” Trudeau stated, adding that Canada is exploring additional “non-tariff measures” with provinces and territories.
🇺🇸🇨🇦 CANADA HITS BACK: TRUDEAU ANNOUNCES RETALITORY TARIFFS
Canada will impose its own 25% tariffs on $155 billion worth of U.S. goods starting in 21 days, with $30 billion taking effect immediately pic.twitter.com/J7G6AWLNkr
— Marc Nixon (@MarcNixon24) March 4, 2025
Trump’s tariffs, which went into effect at 12:01 a.m. Tuesday, mark a continuation of his administration’s trade policies, which have previously included tariff threats to influence negotiations. Trump had initially delayed the latest round of tariffs after Canada and Mexico took steps to tighten border security. However, in a Truth Social post, he reiterated that “time was running out” and that “the proposed TARIFFS scheduled to go into effect on MARCH FOURTH will, indeed, go into effect, as scheduled.” He also confirmed an additional 10 percent tariff on Chinese goods would be implemented the same day.
Concerns over the escalating trade dispute have led to reactions from economic and political figures in both countries. White House National Economic Council Director Kevin Hassett told CNBC that Trump would finalize his tariff policy for all countries after a review expected on April 1. Meanwhile, Canadian officials are scheduled to meet with U.S. trade representatives later this week in an effort to prevent further economic fallout.
Beyond trade policy, tensions between the U.S. and Canada have been further strained by Trump’s repeated remarks about making Canada the 51st state. While the suggestion has been widely dismissed, it has fueled political sensitivities. Canadian officials, including British Columbia’s Minister of Environment and Parks Tamara Davidson, have publicly rejected the notion. “Let’s be clear, we will never be the 51st state,” Davidson said.
Trump now calling out Trudeau for not allowing American banks in Canada
Not fair! pic.twitter.com/YyFBRFoNR7
— DC_Draino (@DC_Draino) March 4, 2025
Trudeau also addressed the issue directly, stating, “Canadians define themselves a whole bunch of different ways, but one of the ways that we all use as shorthand is ‘we’re Canadian because we’re not American.’ That is not going to change.”
🚨 BREAKING: Canada strikes back! 🇨🇦🔥 @JustinTrudeau announces 25% tariffs on $155B worth of U.S. goods, including bourbon, OJ, appliances & more, and urges Canadians to buy local
🇨🇦 Check out full details and list of America products affected here👇https://t.co/LlovOblpBg pic.twitter.com/Z0yROLdUlx
— Immigration News Canada 🇨🇦 (@CanadaImmigra20) February 2, 2025
The broader impact of the tariffs remains uncertain, with economic analysts warning of potential disruptions to supply chains and rising costs for consumers in both countries. Canadian and American officials continue discussions as they seek to navigate the ongoing trade tensions.
