Canada hits back at USA with own tariffs

Canada hits back at USA with own tariffs

Freeland has repeatedly warned that the imposition of both steel, aluminum and auto tariffs would hurt American workers just as much as those in Canada.

It begs the question: what comes next? While Canada "will not escalate" the trade dispute, "it will not back down" either.

Canada's Foreign Minister Chrystia Freeland has declared that her country will "not back down" in the face of new tariffs imposed by the United States on steel and aluminium.

"Our approach is we will not escalate, but equally we will not back down", Freeland insisted.

"They will take effect on July 1 and will remain in place until the United States eliminates its trade-restrictive measures against Canada".

Trudeau reportedly reiterated his position to Trump himself in a phone call on Friday.

Trump, of course, has continuously personally insulted Trudeau ever since the Prime Minister's comments on retaliatory tariffs following the G7 Summit earlier this month.

When Canada's retaliatory tariffs were first announced, Bilous said he met with Alberta business leaders to hear their concerns.

"We believe that cooperation is a better path forward than escalation", said Kent Bacus, the association's director of global trade and market access. "The tariffs introduced by the United States on Canadian steel and aluminum are protectionist and illegal under WTO and NAFTA rules - the very rules that the United States helped to write", said Freeland in a statement.

The aid package - more than twice the value of last year's plan to help the softwood lumber industry - was announced at the same time the government confirmed plans to impose $16.6-billion in "dollar-for-dollar" countermeasures on USA goods.

The Trump administration imposed the steel and aluminum tariffs citing "national security" provisions of USA trade law, drawing a rebuke from allies who have fought alongside American soldiers in multiple wars.


"Faced with these unjustified tariffs, the United States will take all necessary actions under both USA law and worldwide rules to protect its interests", he said in the statement.

President Trump says Canada has unfair trade policies and a huge trade surplus with the U.S. But the U.S.

She said she expects "common sense will prevail".

"I don't think we'll see any reaction from the Trump administration". He is also threatening to impose another national security-based tariff on imported cars, trucks and auto parts.

"There are a million direct American jobs because of this relationship they have with Alberta", he said. The situation means it's now a top priority for stalled NAFTA talks to get moving as soon as possible, he said. Trump has repeatedly scorned the deal and threatened to pull out, as officials from the U.S., Canada and Mexico have worked to renegotiate the 24-year-old trade agreement.

"Canada has always been a safe, secure and reliable source of steel and aluminum for the USA market". "I fought hard for them and ultimately they will not pay tariffs selling into the European Union, which has hurt us badly on trade, down $151 Billion". That support has gone largely unused, as booming demand for lumber has overcome the higher costs of USA -imposed tariffs for that sector.

On this front, Ottawa feels it has more work to do.

The Trudeau government's decision to stand up to Trump with retaliatory measures has attracted wide support in Canada.

Numerous US products were chosen for their political rather than economic impact.

The federal government has also doubled its work-sharing agreement, Hajdu said, from 38 to 76 weeks in addition to other assistance measures.

Ottawa is also promising to boost funding for the provinces and territories to increase job and training programs.

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