Canada is set to respond to newly imposed tariffs on imported vehicles announced by U.S. President Donald Trump. Prime Minister Mark Carney has indicated that retaliatory measures against the United States are under serious consideration.
Carney Condemns U.S. Tariffs
Speaking on Wednesday, Carney described Trump’s tariff decision as “a direct attack” and vowed to protect Canadian workers and businesses. He confirmed that a high-level cabinet meeting would be convened on Thursday to determine the country’s official response.
“We will defend our workers, we will defend our companies, we will defend our country, and we will defend it together,” Carney stated during a press conference in Kitchener, Ontario.
Impact on the Auto Industry
The new tariffs threaten to disrupt the highly integrated North American auto sector, which relies heavily on cross-border supply chains. With Canada playing a crucial role in the industry, any U.S. restrictions could have widespread economic consequences.
Canada has already announced a package of retaliatory tariffs amounting to C$155 billion. These tariffs will be implemented in phases, depending on the actions taken by the U.S. government.
Canada’s Response Timeline
When asked about the timing of Canada’s countermeasures, Carney confirmed that action would be taken “soon” but did not provide specifics. “We have options. We can introduce retaliatory tariffs,” he said, leaving the door open for multiple avenues of response.
Beyond direct tariffs, Carney has hinted at the possibility of non-tariff measures, such as levying export duties on key commodities destined for the U.S. He also suggested that a conversation with Trump would be appropriate, though the two leaders have not spoken since Carney took office earlier this month.
Ontario Premier Calls for Tough Response
Ontario Premier Doug Ford has also voiced strong opposition to the U.S. tariffs. He emphasized that Canada must take decisive action to counter the move, advocating for a firm but strategic response.
“We’re going to make sure that we inflict as much pain as possible on the American people without inflicting pain on the Canadian population,” Ford told reporters.
He also confirmed plans to consult with other provincial leaders to ensure a coordinated national response. “We have two options here—we either roll over as a country and he runs us over 15 times and gets what he wants, or we feel a little bit of pain and fight like we have never fought before. I prefer the latter—I believe in fighting.”
What Comes Next?
With tensions escalating, Canada’s next move could have significant ramifications for U.S.-Canada trade relations. If Carney’s government proceeds with its planned retaliatory tariffs, businesses on both sides of the border may face higher costs and supply chain disruptions.
As both nations prepare for a potential trade standoff, all eyes will be on Carney’s government to see how aggressively Canada responds to Trump’s economic policies.