The Canadian foreign minister has announced that Ottawa will impose 10% to 25% trade tariffs on US goods in response to a similar move made by Washington, beginning July 1.
"Today we are publishing our two final tariffs lists," Freeland told reporters. "One list will be subject to a 25 percent tariff and the second list that will be subject to a 10 percent tariff. These countermeasures will only apply to good originating from the United States."
The minister announced Canada’s actions were worked out in close collaboration with Mexico and the European Union.
She also argued that the United States has no justification for retaliating against Canada’s new tariffs, adding that Canada is allowed under the North American Free Trade Agreement rules to take reciprocal countermeasures against the US tariffs.
The official stressed that Canada would not further escalate the trade conflict with the United States, but it will not back down either.
Canadian officials at the press conference also announced an estimated $1.5 billion package to safeguard Canadian aluminum and steel industries impacted by the US tariffs. In addition, Ottawa will provide support for Canadian businesses to take advantage of newly signed trade deals with partners in Asia and Europe, as they announced.
The officials also declared that Canada would provide more funding to enhance the support workers laid off in the metals industry because of the US tariffs.
Trade Row With the US
Canada's measures come in response to the controversial decision made by US President Donald Trump to reintroduce the tariffs on imports from Canada, Mexico and the European Union in late May. The move has been slammed by Canadian President Justice Trudeau, who also emphasized that his country does not pose a national security threat to the United States.
Canadian Prime Minister Justin Trudeau, previously speaking about the US tariffs, told a press conference that his country would not be "pushed around."
The Trudeau's comments on the trade dispute prompted Trump to strike back at the Canadian Prime Minister with a fiery rant with a barrage of tweets, denouncing the prime minister. Before finally reaching an agreement, Trump instructed US representatives not to back the joint communique of the G7 summit due to Trudeau's "false statements at his news conference."