Officials in Canada and Mexico struck back hours after President Donald Trump imposed a 25% tariff Saturday on imports from the neighboring countries, announcing they would retaliate by implementing their own import duties on U.S. goods.
Trump signed an executive order putting 25% tariffs on imports from Canada and Mexico, while Chinese products will receive an additional 10% tariff. Canadian energy imports will only be tariffed at 10%.
The U.S. duties on all three countries will be fully in force starting Tuesday.
Trudeau said Canada would put matching 25% tariffs on up to $155 billion in U.S. imports.
“Like the American tariffs, our response will also be far-reaching and include everyday items such as American beer, wine and bourbon, fruits and fruit juices, including orange juice, along with vegetables, perfume, clothing and shoes,” Trudeau said during a news conference Saturday. “It will include major consumer products, like household appliances, furniture and sports equipment, and materials like lumber and plastics.”
Mexican President Claudia Sheinbaum said her country would respond with tariffs against the U.S. but did not immediately reveal details of the plan.
“I instruct the Secretary of Economy to implement the Plan B we have been working on, which includes tariff and non-tariff measures in defense of Mexico’s interests,” Sheinbaum wrote on social media platform X. “It is not by imposing tariffs that problems are solved, but by talking and dialoguing as we have done in recent weeks with [Trump’s] State Department to address the phenomenon of migration; in our case, with respect for human rights.”
Related: Trump orders steep tariffs on goods from Mexico, Canada, China
Trump said the tariffs are aimed at getting more cooperation from Mexico and Canada to slow the influx of drugs and illegal immigrants into the U.S.
“Today, I have implemented a 25% Tariff on Imports from Mexico and Canada (10% on Canadian Energy), and a 10% additional Tariff on China. This was done through the International Emergency Economic Powers Act (IEEPA) because of the major threat of illegal aliens and deadly drugs killing our Citizens, including fentanyl,” Trump posted Saturday on social media platform Truth Social.
Mexico, Canada and China are the top three trading partners of the U.S. The U.S. imports include products such as oil, electricity, water, lumber, steel, agricultural goods, auto parts, vehicles, electronics and appliances, medical instruments, beer, and more from the three countries.
From January through November 2024, U.S.-Mexico trade totaled $776 billion, while trade between Canada and the U.S. totaled $699 billion, and U.S.-China trade totaled $532 billion.
Related: Trump signs USMCA, ‘ending the NAFTA nightmare’
The Ministry of Commerce in China said on Saturday it would file a lawsuit with the World Trade Organization for the “wrongful practices of the U.S.” and take measures to safeguard its rights and interests” after Trump announced the tariffs, according to The Associated Press.
Business and labor leaders across the U.S. criticized Trump’s tariffs as potentially harmful to the economy and the North American supply chain – or said they did not go far enough. Below are some of their responses.
John Murphy, U.S. Chamber of Commerce senior vice president, head of international
“The President is right to focus on major problems like our broken border and the scourge of fentanyl, but the imposition of tariffs under IEEPA is unprecedented, won’t solve these problems, and will only raise prices for American families and upend supply chains. The Chamber will consult with our members, including main street businesses across the country impacted by this move, to determine next steps to prevent economic harm to Americans. We will continue to work with Congress and the administration on solutions to address the fentanyl and border crisis.”
Shawn Fain, president of the United Auto Workers
“If Trump is serious about bringing back good blue collar jobs destroyed by NAFTA, the USMCA, and the WTO, he should go a step further and immediately seek to renegotiate our broken trade deals. The national emergency we face is not about drugs or immigration, but about a working class that has fallen behind for generations while corporate America exploits workers abroad and consumers at home for massive Wall Street paydays. We need to stop plant closures, bring back American jobs, and stop the global race to the bottom immediately. Any tariff action must be followed with a renegotiation of the USMCA, and a full review of the corporate trade regime that has devastated the American and global working class.”
David French, National Retail Federation executive vice president of government relations
“We support the Trump administration’s goal of strengthening trade relationships and creating fair and favorable terms for America. But imposing steep tariffs on three of our closest trading partners is a serious step. We strongly encourage all parties to continue negotiating to find solutions that will strengthen trade relationships and avoid shifting the costs of shared policy failures onto the backs of American families, workers and small businesses.”
Jay Timmons, president and CEO of the National Association of Manufacturers
“A 25% tariff on Canada and Mexico threatens to upend the very supply chains that have made U.S. manufacturing more competitive globally. The ripple effects will be severe, particularly for small and medium-sized manufacturers that lack the flexibility and capital to rapidly find alternative suppliers or absorb skyrocketing energy costs. These businesses — employing millions of American workers — will face significant disruptions. Ultimately, manufacturers will bear the brunt of these tariffs, undermining our ability to sell our products at a competitive price and putting American jobs at risk.”
Brian Bryant, president, and David Chartrand, Canadian general vice president of the International Association of Machinists and Aerospace Workers
“The 25% tariffs on Canadian goods imported to the U.S. will result in job losses, increased prices, and a variety of other negative impacts. This trade war action is unjust and should be reconsidered.”
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