On November 25th, 2024, President-Elect Donald Trump threatened to impose a 25% tariff on all Canadian goods. This announcement quickly elicited strong reactions from political leaders across North America.

In Canada, Prime Minister Justin Trudeau expressed deep concern, warning that such a tariff could severely disrupt trade relations between the two nations. He emphasized the importance of diplomacy and urged the U.S. to reconsider the potential economic consequences. Foreign Minister Melanie Joly echoed Trudeau’s sentiments, stating that Canada would defend its interests but remained committed to resolving the issue through dialogue.

Ontario Premier Doug Ford responded by criticizing the potential tariff, urging both governments to focus on maintaining strong economic ties. He emphasized that a trade war would hurt workers and families in both countries, especially in Ontario, which relies heavily on trade with the U.S. Ford called for a diplomatic resolution and emphasized the importance of collaboration between the two nations.

Conservative Party leader Pierre Poilievre also voiced his disapproval, calling Trump’s proposal “disastrous” for Canada’s economy. Poilievre, who has long advocated for a stronger, more independent Canadian economic policy, argued that the Canadian government must stand firm in protecting the interests of Canadian businesses and workers while calling for a more balanced approach to trade.

U.S. lawmakers also voiced their opinions. Senate Majority Leader Mitch McConnell criticized the proposed tariff, warning it could harm American consumers and businesses that rely on Canadian imports. However, some Republican members, such as Senator Josh Hawley, supported Trump’s stance, arguing that it was necessary to address trade imbalances and protect American jobs.

Trade experts and economists from both countries warned of the risks of escalating tensions, predicting that the tariff could lead to higher prices and disrupted supply chains. Despite the mixed responses, the situation remains fluid, with both Canadian and U.S. officials closely monitoring the development.

Find out here how to take action if the tariffs are implemented on January 20th, 2025.