OTTAWA — The federal government is set to provide details of its own retaliatory tariffs Sunday, one day after United States President Donald Trump forcibly dragged Canada into an unprecedented trade war.
Trump signed executive orders Saturday evening to slap America's closest neighbours with damaging duties amounting to 10 per cent on energy and 25 per cent on everything else.
Prime Minister Justin Trudeau said Canada will retaliate with an immediate $30-billion tariff package, which will be followed by $125 billion in duties on American products in 21 days to give companies and supply chains time to find alternatives.
The targets will include alcohol, furniture and natural resources. Officials will lay out the specifics Sunday afternoon.
But many Canadians aren't waiting for the government to retaliate, taking to social media to announce they have cancelled subscriptions to U.S. streaming services, pledging not to travel to the U.S. and sharing videos and lists of Canadian-made groceries to help each other avoid buying American brands.
Provincial premiers and other politicians are pushing the buy-Canadian plan as well. Liberal leadership candidate and former finance minister Chrystia Freeland issued a statement early Sunday urging Canadians to "try your best not to buy products made in the United States."
Trudeau did not answer Saturday whether Canada would consider cutting energy supplies to the U.S. in light of tariffs, saying instead any measures that involve one region of the country more than others will be done "carefully" and with the full partnership of regional leaders.
Alberta Premier Danielle Smith has been staunchly against any retaliation that touches her province's oil and gas industry.
The prime minister said the better option for both countries is to avoid tariffs altogether.
"If President Trump wants to usher in a new golden age for the United States, the better path is to partner with Canada, not to punish us," Trudeau said.
Trump took to social media Sunday morning before travelling to a golf course near his Mar-a-Lago resort in Florida to reiterate his false claim that America subsidizes Canada. He pushed his plan for Canada to become "our cherished 51st state" to avoid tariffs.
"We don’t need anything they have," Trump posted. "We have unlimited energy, should make our own cars, and have more lumber than we can ever use. Without this massive subsidy, Canada ceases to exist as a viable country."
The president linked the levies to fentanyl crossing the border and included a retaliation clause that says if Canada responds with duties on American products, the levies could be increased.
U.S Customs and Border Protection statistics show less than one per cent of all fentanyl seized comes from the northern border.
Provincial leaders appeared in line with Trudeau's message about protecting the Canadian economy and its relationship with it's southern neighbour Saturday, while acknowledging the momentous challenge ahead for the country.
The new trade penalties could upend the Canadian economy and cause American inflation after the U.S. president campaigned on making life more affordable.
Trump has played down the impact of import taxes on American citizens. He acknowledged Friday that "there could be some temporary short-term disruption" but said "people will understand that."
The U.S. Chamber of Commerce said Saturday the tariffs will "only raise prices for American families and upend supply chains."
— With files from Kelly Geraldine Malone in Washington, D.C. and The Associated Press
This report by The Canadian Press was first published Feb. 2, 2025.
The Canadian Press
