Trudeau urges buy local as US trade tensions rise
Canadian Prime Minister Justin Trudeau warns that the trade war with the USA will be prolonged. He encourages Canadians to buy local products.
During Thursday's press conference, Canadian Prime Minister Justin Trudeau emphasized that the trade war with the USA is set to continue. As a result, he urged Canadians to support local products to help minimize the negative effects of American tariffs. Trudeau noted that the government's priority is to mitigate the impact of the 25% tariffs on Canada's economy.
For a month, at the request of manufacturers, tariffs on car parts and cars have been suspended. Trudeau commented, "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."
Canada responds to the USA
Canada has already challenged the American tariffs at the World Trade Organization (WTO) and has introduced its own 25% tariffs on American exports. Initially, these tariffs apply to goods worth 21 billion US dollars, and after 21 days, they will extend to additional goods worth 87.5 billion US dollars.
Canadian provinces and territories are introducing further restrictions, such as excluding American companies from public tenders.
Canadian Foreign Minister Mélanie Joly indicated that Canada might leverage its position by halting the export of critical goods, such as uranium, on which American nuclear power plants depend. Trudeau emphasized that Canadian retaliatory tariffs will only be lifted once the USA rescinds theirs.
During a conversation with U.S. President Donald Trump, Trudeau described the discussion as "colorful" and "constructive," although, according to "The Wall Street Journal," it was filled with expletives. Public broadcaster CBC reported that it was Trump who used unparliamentary language, particularly regarding dairy products.
Canada employs a quota system for dairy, poultry, and eggs, which was contentious in the free trade agreement negotiations with the USA. Despite making small concessions to the USA, Canada still aims to balance supply and demand and secure income for its farmers. Discussions on this matter will continue.
