Canadian premiers urge strong response to Trump tariff threat, minister says

investing.com 12/12/2024 - 00:31 AM

Canadian Premiers Urge Strong Response to U.S. Tariffs

By Nia Williams

Some Canadian premiers are urging Ottawa to respond robustly to the threat of tariffs from incoming U.S. President Donald Trump. Critical minerals and metals have been highlighted as products that the U.S. relies on, according to Canada's Finance Minister.

Canadian Prime Minister Justin Trudeau and other government ministers met with provincial premiers to discuss Trump's pledge to impose steep tariffs on Canadian and Mexican imports upon his inauguration in January. This pledge has raised fears of a potential trade war between the U.S. and its two largest trading partners.

Finance Minister Chrystia Freeland reported after the meeting, "A number of premiers offered strong support for a robust Canadian response, including some proactively naming critical minerals and metals produced in their provinces and exported to the U.S."

Freeland noted that Canada is currently focused on reaching out to U.S. officials, with Canadian business and labor leaders also contacting their U.S. counterparts. Ontario Premier Doug Ford mentioned that energy exports to the U.S. could be halted, though he did not provide details. Canada exports electricity to the U.S. but does not produce the oil it ships.

Ford stated, "We'll use every tool in our toolbox, including cutting them off energy that we're sending down."

Trudeau indicated that Canada would respond to unfair tariffs as it did during Trump's previous presidency, implementing tariffs on goods like bourbon, Harley Davidson motorcycles, and cherries.

Trump has declared he will maintain protectionist trade measures until Canada and Mexico address drug and migrant issues crossing into the U.S.

The federal government also discussed planned border security measures with the premiers, as stated by Minister of Public Safety Dominic LeBlanc, adding that Canada would share these details with Trump’s team once finalized.




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