Canadian Prime Minister Justin Trudeau announced that the Canadian government is prepared to launch retaliatory tariffs if Trump persists in imposing tariffs after returning to the White House next week.
Trudeau said in an interview with Jen Psaki on MSNBC that Canada does not intend to provoke a conflict, but will defend its interests if the US continues to threaten to impose tariffs on Canadian products.
In 2018, Canada imposed tariffs on goods such as bourbon, boats, and household appliances in response to US steel and aluminium tariffs.
This time? It could be more aggressive with reports suggesting that Canada is considering a broader retaliation plan, which could affect almost every major category of American exports to Canada.
With $320 billion worth of goods flowing from the US to Canada annually, and Canada a major trading partner for 35 US states, Trudeau warned that these trade barriers are not only hurting Canada, but also US workers and the economy.
Is this the start of a major trade war between the two neighbours and who will feel the brunt of it?
