Canada's Billion-Dollar Retaliatory Tariffs Unveiled Amid U.S. Trade War

Canada will announce C$29.8 billion in retaliatory tariffs against the U.S. in response to President Trump's increased tariffs on steel and aluminum. As exemptions ended, the U.S.-Canada trade war intensified. Justin Trudeau is set to hand over power to Mark Carney, who will soon engage with Trump.

In a move signaling escalating tensions with the U.S., Canada plans to announce retaliatory tariffs worth C$29.8 billion against American imports on Wednesday. This response is in direct reaction to President Donald Trump's imposition of increased tariffs on steel and aluminum, which came into effect following the expiration of earlier exemptions, duty-free quotas, and product exclusions.

Canada, being the largest external supplier of steel and aluminum to the United States, is significantly affected by the renewed trade policies championed by the Trump administration, which is purported to favor U.S. interests and redefine global trade norms.

The announcement coincides with a pivotal political transition in Canada. Prime Minister Justin Trudeau will soon hand over power to Mark Carney, who emerged victorious in the ruling Liberal Party's leadership contest. Although Carney is yet to hold discussions with Trump due to procedural formalities, the U.S. leader provocatively suggested on social media that Canada could consider becoming the 'Fifty First State.'

(With inputs from agencies.)