Canada on Sunday unveiled a list of U.S. goods worth C$30 billion that will be subject to a 25 percent tariff, marking the first phase of retaliation against U.S. President Donald Trump's matching tariffs on Canadian imports.
Canadian Finance Minister Dominic LeBlanc stated that the tariffs target products such as orange juice, peanut butter, wine, coffee, appliances, cosmetics, and paper products. These tariffs are set to take effect on February 4, aligning with the implementation of U.S. tariffs on Canadian goods.
In addition to the initial list, Canada plans to impose tariffs on a second set of U.S. imports valued at C$125 billion. The upcoming list will include passenger cars, trucks, buses, steel and aluminum products, certain fruits and vegetables, aerospace products, as well as beef, pork, and dairy items. A 21-day public consultation period will precede the enforcement of tariffs on this second list.
The latest development follows Canadian Prime Minister Justin Trudeau's vow to retaliate after Trump's announcement of a 25 percent tariff on most Canadian products and 10 percent on Canadian energy products commencing February 4. Trudeau mentioned that further non-tariff trade actions are under consideration, which could involve restrictions on the export of critical minerals and energy products to the United States, as well as barring U.S. companies from bidding on Canadian government contracts.
The Canadian Chamber of Commerce has cautioned that the imposition of 25 percent tariffs and full retaliation could result in a 2.6 percent decline in Canada's real GDP, equating to an average cost of 1,900 Canadian dollars per household annually. In the United States, the GDP could fall by 1.6 percent, costing an average of $1,300 per household.
Reference(s):
cgtn.com
