Canadian officials are preparing a list of American exports to slap retaliatory tariffs if US President-elect Donald Trump implements his threats to use “economic force” against Ottawa, CNN reported.
The items under consideration include ceramics, steel and furniture, alcoholic beverages, orange juice and pet food. Canada is also contemplating taxing US energy exports as a “last resort”, it added.
Canada's foreign minister Melanie Joly said, “I think we have to be ready". However, sources told the channel that a final decision on retaliatory tariffs has not been taken.
Joly said it is important for Trump to understand the potential consequences of his threats and realise that Canada has its own “leverage” to resort to.
Canada is the largest trading partner of the US. Washington imported $419 billion worth of Canadian goods in 2023. Canada is also the largest source of foreign oil into the US.
According to statistics released by the Canadian government, the US is the only country with which it enjoyed a widening trade surplus in November 2024. “Exports to the United States rose 6.8% in November, while imports increased 4.1%. As a result, Canada's trade surplus with the United States widened from $6.6 billion in October to $8.2 billion in November,” the report said.
