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Canada hits back at US with its own tariffs

Xinhua | Updated: 2025-02-02 15:51
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OTTAWA -- Canada announced retaliatory tariffs on US imports late Saturday after US President Donald Trump imposed 25-percent tariffs on most Canadian products.

Canada will levy 25-percent tariffs on 30 billion Canadian dollars ($21 billion) worth of American goods as of Tuesday, Canadian Prime Minister Justin Trudeau said after chairing the Cabinet meeting and hosting a virtual meeting with provincial and territorial premiers.

Trudeau said the tariffs would then be applied to another 125 billion Canadian dollars worth of goods in 21 days.

American beer, wine and spirits, along with vegetables, clothing, shoes and perfume, will be among the first items, as well as household appliances, furniture and sports equipment, he said.

Trudeau added that more non-tariff trade actions are still to be decided but could include restrictions on exporting critical minerals and energy products to the United States and a move to block American companies from bidding on government contracts.

British Columbia Premier David Eby said on Saturday that Trump's tariffs "completely betray the historical bond between our two countries."

Eby said he has ordered liquor stores in British Columbia to immediately stop purchasing American liquor from Republican-led "red" states and instructed the government, including the health department, to immediately stop purchasing American goods.

The Canadian Chamber of Commerce said that with 25-percent tariffs and full retaliation, Canada's real GDP would decline by 2.6 percent, costing an average of 1,900 Canadian dollars per household annually. In the United States, GDP would fall by 1.6 percent, costing an average of $1,300 per household.

On Saturday, the Trump administration imposed tariffs on imports from Canada, Mexico and China. The tariff order on Canada is 25 percent on all imports and 10 percent on energy products.

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