Premiers decry Trump's tariffs, announce countermeasures and call for federal response
Canadian industry experts, union leaders issue dire warnings about tariff effects
Several premiers are decrying U.S. President Donald Trump's decision to impose punishing tariffs on virtually all Canadian goods and are calling for a powerful retaliatory response from Ottawa while implementing countermeasures of their own.
Newfoundland and Labrador Premier Andrew Furey said on Saturday that "we're in a moment that is historic, an existential threat to the country. It's not just an economic attack — I believe this to be an attack on Canadians, an attack on their values, on our sovereignty.
"It's a moment where we need to stand strong and united in such an assault," Furey told CBC News.
On Saturday evening, it was confirmed Trump will impose a 25 per cent tariff on virtually all Canadian goods, launching a trade war. According to a fact sheet from the White House, the president will put a lower 10 per cent tariff on Canadian energy products.
These potentially devastating tariffs are slated to take effect on Tuesday and remain in place until Trump is satisfied Canada is doing enough to stop the flow of fentanyl into the U.S., according to the fact sheet.
Ontario Conservative Leader Doug Ford recently called a snap election to try to get a longer mandate as premier, in order to deal with the tariffs issue.
In a statement on Saturday, he said he's "extremely disappointed that President Trump has chosen to walk away from a trading relationship that for decades has made life better for millions of workers on both sides of the border."
"I wish we weren't here," Ford said. "I wish Ontario and Canada were working together with our American friends and allies to make our two countries the richest, most successful, safest, most secure on the planet."
Canadian officials — Ford included — have spent months trying to get Trump to back off the move, to no avail. The president told reporters on Friday there was nothing Canada could do to stop the tariffs from coming into effect.
Now, Furey said, Canada must retaliate because "appeasement and capitulation is not the appropriate stance for the Canadian people right now, albeit it will cause some fiscal and economic pain on both sides of the border."
Ford said the federal government has his full support "for a strong and forceful response that matches U.S. tariffs dollar for dollar." He also argued Canada has resources that Americans need, like high-grade nickel and other critical minerals.
"We need to maximize our points of leverage and use them to maximum effect," Ford said. "The federal government needs to also pursue every legal route to challenge these unfair, unjustified and illegal tariffs."
Nova Scotia Premier Tim Houston said in a statement posted to social media that it's "remarkable we find ourselves at odds with our best friend and neighbour. It will take thoughtful and time but we will get through this."
Houston said Nova Scotia will limit access to provincial procurement for American businesses, look for ways to cancel existing contracts, double the cost of tolls at Cobequid Pass and direct the Nova Scotia Liquor Corporation to remove all U.S. alcohol from their shelves on Tuesday.
In a similar move, British Columbia Premier David Eby said he's directed the B.C. Liquor Distribution Branch to immediately stop buying American liquor from states that predominately vote for the Republican Party.
The B.C. government said in a news release that Eby has also directed the province and Crown corporations to buy Canadian goods and services first.
"The Americans are bigger, but if we don't stand up for ourselves, they'll just keep coming back for more," he said Saturday evening.
Quebec Premier François Legault said Saturday night that his government will take actions to help small businesses and that the tariffs could be an opportunity for Quebec companies to "replace American products" and develop new markets.
Alberta Premier Danielle Smith said in a statement that she's "disappointed" with Trump's tariff decision, which will "strain the important relationship alliance between our two nations."
Smith said her province "will do everything in its power to convince the U.S. President and Congress, as well as the American people, to reverse this mutually destructive policy," Smith added.
But the Alberta premier also said the province will "strenuously oppose any effort to ban exports to the U.S., or to tax our own people and businesses on goods leaving Canada for the United States. Such tactics would hurt Canadians far more than Americans."
Smith has consistently argued against Canada using export taxes or other sanctions on oil as a pressure point in a trade war — a sticking point that has previously put her at odds with other premiers like Ford.
In a video posted to social media, Manitoba Premier Wab Kinew said Trump has built a "tariff wall" targeting Canada and the province supports the federal government's response.
Kinew also said his province will announce new steps "every single day this week to protect your jobs and to safeguard our economy here at home."
Canada will slap U.S. with tariffs on $155B of goods
Prime Minister Justin Trudeau told reporters Saturday night that Canada will slap 25 per cent tariffs on $155 billion worth of American goods. There will be an immediate $30 billion implemented on Tuesday, and the remaining $125 billion in 21 days.
Trudeau listed some affected items, including American beer, wine, bourbon, fruit juices and consumer products like furniture and sports equipment, although he added the list is even bigger.
The federal government is also considering "several non-tariff measures" with the provinces related to critical minerals, energy, procurement and partnerships, the prime minister added.
"If President Trump wants to usher in a new golden age for the United States, the better path is to partner with Canada. Not to punish us," Trudeau said.
When asked if he would recall Parliament and end the current prorogation to pass a tariff relief package, Trudeau said the federal government has the tools it needs to mount a response to Trump.
"This is a moment where we need to set aside our differences and focus on delivering for Canadians, standing up for Canadians and protecting the most successful political, military, economic and security partnership the world has ever seen," Trudeau said.
Massive concerns for Canada's economy
Dennis Darby, president and CEO of Canadian Manufacturers and Exporters, told CBC News that 40 per cent of the organization's members said if tariffs came into play, they would look at shifting production out of Canada.
Prime Minister Justin Trudeau has previously said Canada is ready to deliver a "purposeful, forceful but reasonable, immediate" response to Trump's tariffs.
Darby said that over the long term, Canada "can't fight a tariff war with the United States. They're much more important to us than we are to them."
"At some point, we're going to have to figure out as Canada, how do we deal with this and how do we go talk to the United States, because a higher tariff, above 25 per cent, would simply be untenable for our biggest export sector," Darby said.
Flavio Volpe, president of the Automotive Parts Manufacturers' Association, had an more urgent warning: a 25 per cent tariff on the automotive sector "will cause a shutdown of the industry in the U.S., Canada and Mexico within a week."
"Donald Trump may still continue to say half-truths on this, but he's not going to be able to say that Americans are unaffected by this because there will be hundreds of thousands of Americans on temporary layoff or worse in automotive just as quickly as it will happen in Ontario and Quebec," Volpe said.
Furey said his province's fishing industry will feel the tariffs "immediately" and that right now, fish harvesters and processors are in negotiations to set prices for different species.
"This level of uncertainty will create chaos in that collective bargaining."
In the months ahead, Furey said, Canada "can't lose sight of our identity and our values throughout all of this."
"We can take a strong, diplomatic Canadian approach and try to come to a resolution, but we have to be strong and firm in our resolve to protect Canadian values and our Canadian identity, which I fundamentally believe is under attack by the president of the United States."
ABOUT THE AUTHOR
With files from John Paul Tasker