Canada is preparing for a trade war with the U.S. after President Trump’s 25% tariffs on Canadian goods took effect. Prime Minister Justin Trudeau announced immediate retaliatory tariffs of 25% on $155 billion worth of American goods, with further tariffs set to follow in 21 days. Foreign Affairs Minister Mélanie Joly called Trump’s tariffs an “existential threat” but defended Canada’s border security efforts, which were Trump’s stated reason for the levies.

Ontario Premier Doug Ford also vowed strong retaliation, threatening to cut electricity exports to U.S. states, halt nickel shipments, remove American alcohol from stores, and cancel government contracts with U.S. companies. Ford warned the tariffs would be disastrous for both economies and claimed American officials agree the move is reckless.

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