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Canadian PM Trudeau announced 25% retaliatory tariffs on US goods

In response to President Donald Trump’s decision to impose 25% tariffs on Canadian goods, Prime Minister Justin Trudeau announced 25% retaliatory tariffs on U.S. goods, set to take effect at midnight on Tuesday.

“Canada has always been a fair trading partner and a strong ally to the United States,” Trudeau said in a statement from Ottawa. “These tariffs are an unfair attack on Canadian businesses and families. We will not stand idly by while our workers and economy are put at risk.”

Trump’s tariffs, which include duties on Canadian steel, aluminum, and select agricultural products, are part of his administration’s broader strategy to prioritize American industry. The White House has defended the decision as necessary to ensure domestic economic stability, but Trudeau pushed back against that reasoning.

“The facts are clear: Canadian steel and aluminum do not threaten American jobs—they support them. Our economic partnership has been one of mutual benefit for decades, and these tariffs serve only to create unnecessary tension,” Trudeau stated. “We are prepared to respond in kind, with strong, targeted measures to defend our economy.”

The prime minister confirmed that Canada would engage in discussions with trade partners to evaluate further responses and would also bring its case to international trade bodies, arguing that the tariffs violate existing agreements between the two nations.

Industry leaders in Canada have voiced concerns over the economic consequences of the tariffs. The Canadian Chamber of Commerce criticized the move as “damaging and short-sighted,” while union leaders representing affected workers called for swift government intervention.

“Canadians are resilient. We’ve faced challenges before, and we will stand together now to ensure our workers, our industries, and our economy remain strong,” Trudeau assured.

In his official statement, Trudeau emphasized that Canada has made substantial efforts to work with the U.S. to address shared concerns, including combatting fentanyl smuggling.

“Today, after a 30-day pause, the United States administration has decided to proceed with imposing 25 percent tariffs on Canadian exports and 10 percent tariffs on Canadian energy. Let me be unequivocally clear – there is no justification for these actions,” Trudeau said.

He highlighted that while less than 1 percent of the fentanyl intercepted at the U.S. border originates from Canada, his government has invested heavily in addressing the crisis.

“We implemented a $1.3 billion border plan with new choppers, boots on the ground, more coordination, and increased resources to stop the flow of fentanyl. We appointed a Fentanyl Czar, listed transnational criminal cartels as terrorist organizations, launched the Joint Operational Intelligence Cell, and are establishing a Canada-U.S. Joint Strike Force on organized crime. Because of this work – in partnership with the United States – fentanyl seizures from Canada have dropped 97 percent between December 2024 and January 2025 to a near-zero low of 0.03 pounds seized by U.S. Customs and Border Protection.”

Trudeau then outlined Canada’s immediate response to the tariffs.

“Canada will not let this unjustified decision go unanswered. Should American tariffs come into effect tonight, Canada will, effective 12:01 a.m. EST tomorrow, respond with 25 percent tariffs against $155 billion of American goods – starting with tariffs on $30 billion worth of goods immediately, and tariffs on the remaining $125 billion on American products in 21 days’ time. Our tariffs will remain in place until the U.S. trade action is withdrawn, and should U.S. tariffs not cease, we are in active and ongoing discussions with provinces and territories to pursue several non-tariff measures. While we urge the U.S. administration to reconsider their tariffs, Canada remains firm in standing up for our economy, our jobs, our workers, and for a fair deal.”

The prime minister also warned of the potential economic consequences for Americans.

“Because of the tariffs imposed by the U.S., Americans will pay more for groceries, gas, and cars, and potentially lose thousands of jobs. Tariffs will disrupt an incredibly successful trading relationship. They will violate the very trade agreement that was negotiated by President Trump in his last term.”

As tensions rise between the two longtime allies, Trudeau’s decisive response signals Canada’s willingness to stand firm against economic policies that it sees as harmful to both nations. While diplomatic efforts may continue, the trade dispute appears to be escalating, with both sides preparing for a prolonged standoff.