• Trump imposes a 25% tariff on Canadian imports, aiming to address unauthorized migration and drug trafficking.
  • The tariffs are expected to raise consumer prices and disrupt key industries, including energy and automotive sectors.
  • Canada plans to implement countermeasures, intensifying economic and political tensions between the two nations.

The White House said on Friday that U.S. President Donald Trump would implement a 25% tariff on Canadian goods starting Saturday, though Trump later offered different dates for various products.

With the recent 25% tariff imposed on Canadian imports by Trump, the trade relationship between the US and Canada faces a major rift.

The decision, justified on the grounds of curbing unauthorized migration and drug trafficking, amplifies tensions that have been brewing since earlier protectionist measures.

The tariff will significantly impact major industries relying on cross-national trade including automotive manufacturing, energy, and consumer goods.

Speaking to reporters in the Oval Office hours later, Trump said he expects the tariffs would include oil, gas, steel, aluminium, copper and microchips — but potentially with staggered dates and rates, depending on the product.

"We're going to put tariffs on oil and gas," Trump said.
"That'll happen fairly soon, I think around the 18th of February."

The increased costs would disrupt operations and can contribute to inflationary pressures in both nations, as both countries rely on the North American supply chains.

Prime Minister Justin Trudeau said Canada would have "a forceful and immediate response".

Foreign Affairs Minister Mélanie Joly said that Trudeau's office was in touch with the White House on Friday.

The decision to impose tariffs stands to seriously harm both the diplomatic and economic relationships between the two countries, which are typically close allies.

Edited by Harshajit Sarmah