Front Burner

Will Trump's tariffs crush Canada?

Donald Trump says he will impose a 25 percent tariff on all imports from Canada. Is it a negotiation ploy, political bluster or the first salvo in a trade war that could end in economic ruin?
Trump seen through wire fence
Republican presidential candidate and former U.S. President Donald Trump visits the U.S.-Mexico border at Eagle Pass, Texas, as seen from Piedras Negras, Mexico, February 29, 2024. (Go Nakamura/Reuters)

It's time for Canada to pay "a very big price." That was the message from president-elect Donald Trump this week when he announced a 25 percent tariff on literally everything coming into the US from Canada and Mexico. The tariffs will come into effect January 20th, Trump said, and stay in effect until "Drugs, in particular Fentanyl, and all Illegal Aliens stop this Invasion of our Country! "

This isn't the first time Trump has threatened to impose major tariffs or followed through on his threats. And while previous levies didn't last - but they were around long enough to be a thorn in the side of Canadian negotiators reworking The North American Free Trade Agreement.

So, is this most recent threat a negotiation ploy, political bluster or the first salvo in a trade war that could end in economic ruin?

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