Canada to impose tariffs on US Steel & Aluminum, in addition to other products.
At a press conference, Justin Trudeau and Chrystia Freeland have announced that Canada will retaliate against US tariffs.
The tariffs will be matched dollar-for-dollar, with equal tariffs of 25% on US steel, and 10% on US aluminum.
Additionally, the Trudeau government says a further list of products will be released to the public for a 15-day consultation period, after which additional tariffs may be imposed on US products.
However, in what some are considering a sign of weakness, the tariffs being imposed by Trudeau won’t go into effect until July 1st, while the US tariffs are taking effect at midnight on Friday. It would be far better for our tariffs to be imposed on the US at the same time they impose tariffs on us.
Some of Trudeau’s comments can be seen below:
Prime Minister Justin Trudeau on U.S. steel and aluminum tariffs: "That Canada could be considered a national security threat to the United States is inconceivable"; calls tariffs "an affront to the longstanding security partnership between Canada and the United States" pic.twitter.com/zkP6MKyzJF
— CPAC (@CPAC_TV) May 31, 2018
Trudeau says that Canada will seek a meeting with the US to discuss the tariff issue.
The Trudeau government is doing the right thing by retaliating (though the retaliation should be immediate), because as I said earlier, no self-respecting nation can take a hit without hitting back.
However, the Trudeau government has put Canada in a weakened position by imposing carbon taxes and increased regulations, while the US moves towards a lower tax environment. Unless that deeper issue is addressed, the US will continue to benefit from Canada’s growing competitive weakness, while Canadians suffer.
Photo – Twitter