Trump To Increase Tariffs On Canada After Canada Retaliates

On Tuesday, President Donald Trump issued a warning to Canada, stating that any retaliatory tariffs imposed by the country on U.S. goods would be met with an even steeper increase in American tariffs. This statement came shortly after Trump’s newly implemented 25% tariffs on imports from Canada, Mexico, and an escalated tariff on China took effect that same morning. In response, both Canada and Mexico promised to counter with their own tariffs targeting U.S. exports.

Canadian Prime Minister Justin Trudeau sharply criticized Trump’s tariff strategy, calling it “a very foolish decision” that harms both nations. Posting on Truth Social, Trump urged Trudeau to reconsider Canada’s retaliatory measures, writing, “Tell Governor Trudeau of Canada that if he imposes a Retaliatory Tariff on the U.S., our Reciprocal Tariff will instantly rise by the same amount!”

Undeterred, Canada swiftly enacted a 25% tariff on $30 billion worth of American products, with Trudeau announcing plans to extend the same rate to an additional $125 billion in U.S. goods by month’s end, as reported by Axios. Speaking directly to Americans, Trudeau warned that the U.S. government’s actions jeopardize jobs in industries reliant on Canadian materials and consumers, while also driving up prices for essentials like food, fuel, and big-ticket items such as vehicles and houses.

The White House, in a statement released Monday, defended the tariffs as a necessary response to security threats posed by unchecked cartel activities and drug trafficking from Canada and Mexico. It argued that both countries had not done enough to combat these issues or collaborate with U.S. authorities, justifying the use of the International Emergency Economic Powers Act (IEEPA) to safeguard American interests.

Trudeau rejected this rationale, accusing Trump of using security as a pretext to destabilize Canada’s economy in a bid to weaken and potentially absorb the country. “That’s never going to happen,” he declared firmly. “We will never become the fifty-first state.”