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North American Trade Tensions Rise as Canada and Mexico Weigh Retaliatory Tariffs

Prime Minister Trudeau holds emergency response meeting

Previously, Mexico also predicted a ‘fight back’

Canadian Prime Minister Justin Trudeau is answering questions at the House of Commons on Parliament Hill in Ottawa, Ontario, Canada on the 26th (local time). [로이터]

[헤럴드경제=김영철 기자] The Associated Press reported on the 28th (local time), citing a senior Canadian official, that Canada is considering retaliatory tariffs on American products in response to the tariff bomb announced by U.S. President-elect Donald Trump on his first day in office.

The official reportedly said the Canadian government is preparing for all contingencies and has begun thinking about which products to target if retaliatory tariffs are imposed. However, he emphasized that no decision has yet been made in this regard.

Previously, Canada imposed retaliatory tariffs on U.S. products in 2018 when the first Trump administration announced additional tariffs on Canadian steel and aluminum. At that time, items such as yogurt and whiskey were selected as targets of retaliatory tariffs, which were specialty products from the hometowns of the Speakers of the U.S. Senate and House of Representatives.

Canada is preparing for a resurgence of the trade war following President-elect Trump’s return, while also taking steps to resolve the border issue that President-elect Trump raised as a backdrop for tariffs.

President-elect Trump announced the imposition of a 25% tariff and took issue with the flow of drugs and illegal immigrants into the United States across the border between Mexico and Canada.

Canadian officials said it was unfair to group Mexico and Canada, which have a much larger influx of drugs and immigrants than Canada, but said they were prepared to make additional investments to strengthen border security on the Canadian side, the AP reported.

According to AP, the number of arrests made by the U.S. Border Patrol at the U.S.-Canada border in the 11 months from October last year to September this year was 23,721, and the number of arrests made at the Mexican border in October alone was 56,530. It’s a long way off.

Meanwhile, Canadian Prime Minister Justin Trudeau had a phone call with President-elect Trump immediately after the tariff announcement and held an emergency video conference with provincial government heads on the 27th to discuss response measures.

Canadian Finance Minister Chrystia Freeland said Prime Minister Trudeau and provincial leaders agreed to work together in a unified and organized way to confront President-elect Trump’s tariff threats at the meeting. “We agreed that we need to unite,” he said.

The Mexican government, which was hit with tariffs along with Canada, previously announced its stance that it would respond to the second Trump administration with the same tariffs, but is trying to find common ground through dialogue.

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North American Trade Tensions Rise as Canada and Mexico Weigh Retaliatory Tariffs

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