In response to recent U.S. trade measures, Canadian Prime Minister Justin Trudeau announced late Saturday that Canada will impose retaliatory tariffs on $155 billion worth of American goods, with the first wave of tariffs set at 25% and taking effect Tuesday. Separately, Mexican President Claudia Sheinbaum stated that Mexico would also respond with its own measures, though specific details were not immediately disclosed. Meanwhile, China has vowed to challenge the U.S. tariffs at the World Trade Organization (WTO) and take additional “countermeasures.”
The decision comes after the United States implemented new tariffs on Canadian, Mexican, and Chinese steel, aluminum, and other key exports earlier this week, citing national security concerns. Both Trudeau and Sheinbaum condemned the U.S. move as “unjustified and harmful,” emphasizing the deep economic ties and longstanding partnerships between the three nations.
“Canada has no choice but to respond to these unfair tariffs,” Trudeau said during a press conference. “We will always defend Canadian workers, businesses, and industries. These retaliatory measures are proportionate and targeted, designed to encourage our American partners to reconsider their approach.”
In a separate statement, Mexican President Claudia Sheinbaum expressed a preference for dialogue but said Mexico was forced to respond. “I’ve instructed my economy minister to implement the plan B we’ve been working on, which includes tariff and non-tariff measures in defense of Mexico’s interests,” Sheinbaum posted on social media platform X . However, she did not identify which products would be targeted or provide further details on the measures.
China, another key target of the U.S. tariffs, also announced its intention to fight back. In a statement released Sunday, the Chinese government said it would challenge the U.S. measures at the WTO and take “necessary countermeasures” to protect its economic interests. “The U.S. actions are a violation of international trade rules and undermine the global trading system,” the statement read. “China will defend its rights and interests through all available means.”
Canada’s tariffs will target a wide range of American goods, including agricultural products, machinery, and consumer goods. Specific items on the list include dairy products, meat, whiskey, steel, and certain manufactured goods. The Canadian government stated that the tariffs will remain in place until the U.S. lifts its tariffs on Canadian exports.
The announcements have sparked concern among businesses across North America and beyond, with industry leaders warning of potential disruptions to supply chains and increased costs for consumers. The Canadian Chamber of Commerce and Mexico’s National Chamber of Transformation Industries issued statements urging all governments to return to the negotiating table to avoid further economic harm.
Trade relations between the U.S., Canada, Mexico, and China have been strained in recent years, despite efforts to modernize agreements like the United States-Mexico-Canada Agreement (USMCA). Analysts suggest that the latest escalation could undermine the progress made under the USMCA and create uncertainty for businesses operating across the continent and globally.
U.S. officials have yet to respond to the announcements, but the move is expected to draw strong reactions from American lawmakers and industry groups. The Biden administration has previously emphasized the importance of maintaining strong ties with Canada, Mexico, and China, but the latest trade dispute could test the resilience of these relationships.
As the tariffs take effect on Tuesday, all eyes will be on how the U.S. responds and whether the nations involved can find a path toward de-escalation. For now, the trade war between the U.S. and its key partners shows no signs of abating, leaving businesses and consumers bracing for the economic fallout.
Trudeau and Sheinbaum concluded their remarks with a call for dialogue, stating that their countries remain open to working with the United States to resolve the issue. “We believe in the strength of our relationship and the mutual benefits of free and fair trade,” Trudeau said. “Let’s not lose sight of that.”
The coming weeks will be critical in determining whether the nations involved can bridge their differences or if the trade dispute will deepen further, potentially reshaping the economic landscape of North America and the global trading system.
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