WASHINGTON: Donald Trump warned of increasing reciprocal tariffs against Canada after Prime Minister Justin Trudeau’s announcement.
On Tuesday, Trump said U.S. tariffs would rise “immediately” to match Canada’s 25% tariffs on $155 billion CAD worth of American goods.
Trump posted on Truth Social, stating Trudeau must understand U.S. tariffs will increase in response to Canada’s actions.
The reciprocal tariffs will be dollar-for-dollar and are set to take effect on April 2, according to Trump’s statement.
His warning follows Trudeau’s claim that the U.S. had “launched a trade war against Canada” without justification.
Economic Tensions
Trudeau criticized the U.S. tariffs, calling them unfair and harmful to both economies.
He stated 30 billion CAD in U.S. goods will be taxed immediately, with 125 billion CAD more facing tariffs in 21 days.
Canada will also file complaints with the WTO while keeping tariffs in place until U.S. tariffs are removed.
Trump’s statement implies a retaliatory approach, intensifying tensions between the two allied nations.
As the trade dispute escalates, both governments stand firm on their tariff policies.
Trade War Concerns
The economic standoff raises concerns for businesses relying on cross-border trade.
Canadian officials argue the U.S. is punishing an ally while easing relations with other global powers.
Trump defended the tariffs, citing U.S. interests and economic security as top priorities.
The trade war could impact industries, pricing, and economic growth in both countries.
Observers are watching how both sides navigate this high-stakes conflict.
