WASHINGTON / ONTARIO – Today at 11 am EST, Canada will announce retaliatory tariffs on American goods designed to match U.S. duties “dollar for dollar,” in response to 50% levies by President Donald Trump. Trade negotiations between the US and Canada collapsed over the weekend.
Jay Goldberg, North American Affairs Manager for the Consumer Choice Center (CCC), offered a word of warning in advance of Canada’s retaliatory measures due at 11 am:
“When you consider that Canada imported $276 billion worth of goods from the U.S. in 2023 and $377 billion in 2024, Canada should not let itself be dragged into a full-blown trade war. Canadian consumers won’t be better off if Carney and Trade Minister Dominic LeBlanc retaliate by launching tariffs on the $55 billion in vehicles, $38 billion in machinery, or the $14 billion in electronic equipment we import from the United States. Food inflation is still a problem in Canada, and the rising cost of living concerns our people just as much as Americans. Retaliation is appealing for no other reason than political pride—it is not actually good for Canadians.”
The looming counter-tariffs come after 18 months of trade negotiations broke down. Canadian Trade Minister LeBlanc told provincial and territorial ministers that Canada came to trade talks in good faith and with a willingness to make concessions, while many have suggested that the Trump Administration did not truthfully want a deal.
“Prime Minister Carney was right to step away from the table if the US was asking for a veto on Canada’s other free trade deals. Any language that gives the U.S. free rein to change the terms or renege ruins the stability gains from a trade deal. Still, Canada has to consider dumping its “supply management” strategy. Ending this program would give Canadian consumers access to international goods, lower prices by increasing regional competition, and it would solve one of America’s long-standing grievances about North American trade,” added Goldberg.
David Clement, Policy Director for the CCC and based out of Ontario, offered a video statement on the trade standoff and reiterated the importance of not penalizing working and poor Canadians with counter tariffs:
“It is true north and south of the US-Canada border that tariffs are taxes on consumers. Carney does have some explaining to do over new claims that the U.S. was trying to erode the French language. Washington, including Trump, has denied this, and it’s likely stemming from disagreement over Canadian content rules for streamers like Netflix. The framing of this as an attack on Canadian culture is politically advantageous for the Prime Minister, but still, political advantage doesn’t mean any of this is good for Canadian consumers.”