Berliner Boersenzeitung - Canada challenges Trump on Tariffs

EUR -
AED 4.29233
AFN 81.060934
ALL 97.871028
AMD 449.659898
ANG 2.091479
AOA 1071.624536
ARS 1494.697157
AUD 1.782689
AWG 2.104101
AZN 1.989856
BAM 1.958222
BBD 2.364224
BDT 141.685208
BGN 1.957427
BHD 0.440577
BIF 3488.9144
BMD 1.16862
BND 1.499654
BOB 8.120041
BRL 6.531186
BSD 1.170948
BTN 100.606271
BWP 15.623387
BYN 3.832039
BYR 22904.954325
BZD 2.352109
CAD 1.599783
CDF 3372.63756
CHF 0.930809
CLF 0.029493
CLP 1131.785508
CNY 8.375792
CNH 8.385323
COP 4686.750986
CRC 591.03087
CUC 1.16862
CUP 30.968433
CVE 110.402469
CZK 24.66174
DJF 208.517854
DKK 7.463512
DOP 70.547239
DZD 151.84582
EGP 57.799791
ERN 17.529302
ETB 160.326046
FJD 2.626181
FKP 0.863674
GBP 0.869471
GEL 3.167044
GGP 0.863674
GHS 12.178059
GIP 0.863674
GMD 83.561478
GNF 10158.562104
GTQ 8.9952
GYD 244.882823
HKD 9.173615
HNL 30.631009
HRK 7.534912
HTG 153.690054
HUF 400.085306
IDR 19036.588008
ILS 3.91829
IMP 0.863674
INR 100.328958
IQD 1533.896821
IRR 49213.516854
ISK 142.396501
JEP 0.863674
JMD 187.59278
JOD 0.828573
JPY 172.475459
KES 151.289994
KGS 102.191849
KHR 4692.803132
KMF 493.449547
KPW 1051.758459
KRW 1613.233652
KWD 0.35699
KYD 0.975807
KZT 614.439818
LAK 25237.208397
LBP 104915.839195
LKR 352.305662
LRD 234.772329
LSL 20.916065
LTL 3.450631
LVL 0.706886
LYD 6.34785
MAD 10.535929
MDL 19.835529
MGA 5186.43575
MKD 61.606182
MMK 2454.101562
MNT 4188.573728
MOP 9.467708
MRU 46.484483
MUR 53.101452
MVR 17.999567
MWK 2030.419509
MXN 21.875365
MYR 4.968964
MZN 74.745298
NAD 20.916065
NGN 1793.095467
NIO 43.093289
NOK 11.835316
NPR 160.969055
NZD 1.952922
OMR 0.44933
PAB 1.170948
PEN 4.162147
PGK 4.84303
PHP 66.323279
PKR 333.277532
PLN 4.251682
PYG 9071.217491
QAR 4.268915
RON 5.080226
RSD 117.128458
RUB 91.150839
RWF 1691.99957
SAR 4.383007
SBD 9.722405
SCR 17.15469
SDG 701.780102
SEK 11.22178
SGD 1.497184
SHP 0.918352
SLE 26.297793
SLL 24505.38419
SOS 669.230435
SRD 43.479096
STD 24188.077021
SVC 10.24567
SYP 15194.381516
SZL 20.91186
THB 37.894882
TJS 11.305477
TMT 4.101857
TND 3.430772
TOP 2.737022
TRY 47.001552
TTD 7.947828
TWD 34.247928
TZS 3044.255927
UAH 48.968764
UGX 4196.189018
USD 1.16862
UYU 47.589256
UZS 14771.266186
VES 133.437463
VND 30536.0437
VUV 139.822081
WST 3.044848
XAF 656.771976
XAG 0.030542
XAU 0.000348
XCD 3.158254
XDR 0.816814
XOF 656.769162
XPF 119.331742
YER 282.046189
ZAR 20.882544
ZMK 10518.98595
ZMW 27.165593
ZWL 376.295201
  • CMSC

    0.0900

    22.314

    +0.4%

  • CMSD

    0.0250

    22.285

    +0.11%

  • RBGPF

    0.0000

    69.04

    0%

  • SCS

    0.0400

    10.74

    +0.37%

  • RELX

    0.0300

    53

    +0.06%

  • RIO

    -0.1400

    59.33

    -0.24%

  • GSK

    0.1300

    41.45

    +0.31%

  • NGG

    0.2700

    71.48

    +0.38%

  • BP

    0.1750

    30.4

    +0.58%

  • BTI

    0.7150

    48.215

    +1.48%

  • BCC

    0.7900

    91.02

    +0.87%

  • JRI

    0.0200

    13.13

    +0.15%

  • VOD

    0.0100

    9.85

    +0.1%

  • BCE

    -0.0600

    22.445

    -0.27%

  • RYCEF

    0.1000

    12

    +0.83%

  • AZN

    -0.1200

    73.71

    -0.16%


Canada challenges Trump on Tariffs




In a bold and unprecedented escalation of tensions between Canada and the United States, Prime Minister Justin Trudeau has launched a vigorous counter-offensive against U.S. President Donald Trump’s imposition of sweeping tariffs on Canadian goods. This retaliatory stance marks a significant shift in the historically amicable relationship between the two North American neighbours, igniting what Trudeau has termed a "trade war" that threatens to disrupt one of the world’s most integrated economic partnerships.

The genesis of this dispute lies in Trump’s decision, enacted on February 1, 2025, to impose a 25 per cent tariff on virtually all Canadian exports to the United States, alongside a 10 per cent levy on Canadian energy products. The White House justified these measures as a response to alleged failures by Canada to curb the flow of fentanyl across the border—a claim Trudeau has dismissed as "completely bogus, completely unjustified, completely false." Official U.S. data supports Canada’s position, revealing that less than 1 per cent of fentanyl intercepted at the U.S. border originates from its northern neighbour.

In response, Trudeau announced retaliatory tariffs on March 4, targeting C$155 billion (approximately US$107 billion) worth of American goods. The first phase, effective immediately, imposes a 25 per cent tariff on C$30 billion of U.S. imports, including consumer staples such as orange juice, peanut butter, and coffee. A second tranche, set to apply to C$125 billion of additional goods—ranging from passenger vehicles to steel products—will take effect within 21 days unless the U.S. reverses its policy. "We don’t want to be here, we didn’t ask for this, but we will not back down in standing up for Canadians," Trudeau declared in a press conference from Parliament Hill.

The Canadian leader has not minced words in his criticism of Trump’s strategy. Addressing the U.S. President directly, Trudeau remarked, "Even though you’re a very smart guy, this is a very dumb thing to do," echoing a Wall Street Journal editorial that branded the tariffs "the dumbest trade war in history." He further accused Trump of pursuing a deliberate agenda to destabilise Canada’s economy, suggesting that the ultimate aim might be to weaken the nation sufficiently to facilitate annexation—a notion Trump has repeatedly floated, mockingly referring to Trudeau as the "governor" of a hypothetical 51st state.

This tariff tit-for-tat has galvanised Canadian resolve across political and regional lines. Ontario Premier Doug Ford, a key figure in Canada’s economic heartland, has vowed to "make sure Americans feel pain," announcing a ban on U.S.-made alcohol in provincial liquor stores and threatening a 25 per cent surcharge on electricity exports to New York, Michigan, and Minnesota if U.S. tariffs persist. Quebec and Ontario have joined the fray by pulling American products from their shelves, while Conservative Leader Pierre Poilievre has urged a "Canada First" approach, advocating dollar-for-dollar retaliation to protect Canadian workers and businesses.

The economic stakes are staggering. Canada exports roughly 75 per cent of its goods to the United States, including C$75 billion in automotive products annually. Economists warn that a protracted trade war could plunge Canada into recession, with the Bank of Canada predicting "severe" and potentially irreversible consequences. Yet the fallout is not unilateral: American consumers face higher prices for groceries, fuel, and vehicles, while U.S. businesses reliant on Canadian materials brace for supply chain disruptions.

Trudeau has sought to rally national unity, urging Canadians to "redouble their efforts" in supporting domestic industries and rejecting American goods. "Canadians are hurt, angry, and frustrated," he acknowledged, pointing to symbolic acts of defiance such as the booing of the U.S. national anthem at sporting events. Yet he remains steadfast: "We are Canadians. We are going to fight, and we are going to win."

Internationally, Canada plans to challenge the tariffs through the World Trade Organization and the U.S.-Mexico-Canada Agreement (USMCA), a pact Trump himself negotiated during his first term. Meanwhile, Trump has doubled down, warning via social media that any Canadian retaliation will be met with "immediate reciprocal tariffs of the same size." This brinkmanship has drawn parallels to a broader global trade conflict, with Mexico and China also imposing countermeasures against U.S. tariffs of 25 per cent and 20 per cent, respectively.

As Trudeau prepares to step down later this month—his Liberal Party set to select a new leader on March 23—he leaves behind a nation galvanised by adversity. His successor will inherit a complex battle, one that tests Canada’s economic resilience and its sovereignty against an unpredictable adversary. For now, the message from Ottawa is clear: Canada will not yield. As Trudeau put it, "This is the time to stand together. Canada remains the best country in the world."