Cyprus Mail
Americas World

Canada to impose retaliatory tariffs on U.S. goods, hopes for resolution

FILE PHOTO: Canada's Deputy Prime Minister Chrystia Freeland attends a news conference as efforts continue to help slow the spread of coronavirus disease (COVID-19) in Ottawa, Ontario, Canada March 23, 2020. REUTERS/Blair Gable/File Photo

Canada will slap retaliatory tariffs on C$3.6 billion ($2.7 billion) worth of U.S. aluminum products after the United States said it would impose punitive measures on Canadian aluminum imports, a senior official said on Friday.

Deputy Prime Minister Chrystia Freeland told a news conference the countermeasures would be put in place by Sept. 16 to allow consultations with industry.

The move marks the latest ruction in a choppy relationship between the neighbors and close allies since President Donald Trump took office in 2017.

Trump moved on Thursday to reimpose 10% tariffs on some Canadian aluminum products on Aug 16 to protect U.S. industry from a “surge” in imports. Canada denies any impropriety.

“At a time when we are fighting a global pandemic… a trade dispute is the last thing anyone needs – it will only hurt the economic recovery on both sides of the border. However, this is what the U.S. administration has chosen to do,” said Freeland.

“We do not escalate and we do not back down,” she said later, variously describing the U.S. decision as “entirely unacceptable,” absurd and ludicrous.

The Canadian list of goods that might be subject to tariffs includes aluminum bars, plates, refrigerators, bicycles, washing machines and golf clubs. Trump is a keen golfer.

“I think the very best outcome would be for the United States to reconsider,” said Freeland, adding that she was confident common sense would prevail.

The list of goods subject to tariffs is narrower than the last time Ottawa struck back at Trump because the two sides agreed in 2019 to limit the scope of retaliation in disputes over steel and aluminum, said a Canadian government source who requested anonymity.

In 2018, Ottawa slapped tariffs on C$16.6 billion ($12.5 billion) worth of goods ranging from bourbon to ketchup after Washington imposed sanctions on Canadian aluminum and steel.

Ottawa may be calculating its measures will be short-lived. A source briefed by Prime Minister Justin Trudeau’s office said Canadian officials are increasingly sure Trump will lose the Nov. 3 presidential election.

Trump acted just weeks after a new continental trade pact between the United States, Canada and Mexico took effect. The North American economy is highly integrated and Canada sends 75% of all its goods exports to the United States.



Related posts

World’s first patient cured of HIV dies after cancer returns

Reuters News Service

EU criticises Poland, Hungary in first democracy report

Reuters News Service

Macron criticises Turkey’s “warlike” rhetoric on Nagorno-Karabakh

Reuters News Service

UK GDP collapsed nearly 20% in Q2 in historic COVID hit

Reuters News Service

Disney to lay off 28,000 due to COVID, New York City imposes mask fines

Reuters News Service

Insults and interruptions mar first Trump-Biden debate

Reuters News Service