Prime Minister Mark Carney has promised to “act with purpose and with force” in response to U.S. President Donald Trump’s newly announced tariffs. Carney vowed to unveil further details on Thursday morning after speaking with Canada’s premiers, emphasizing that the Canadian government would take immediate countermeasures to protect workers and strengthen the economy.
“We will fight these tariffs with countermeasures. We will protect our workers, and we will build the strongest economy,” Carney told reporters. “In a crisis, it’s crucial to unite, and we will act with purpose and force.”
On Wednesday, President Trump revealed plans to impose “reciprocal tariffs” on a range of countries starting April 3. Trump explained the concept as simple: “They do it to us, and we do it to them.”
The tariffs will begin at a base rate of 10%, with higher levies imposed on imports from certain countries. A large chart displaying these tariffs was shown at the White House, but Canada was notably absent from the list.
In a fact sheet, the White House confirmed that Canada and Mexico were exempt from the new reciprocal tariffs. Existing trade orders for both countries remain in effect, which means goods compliant with the United States–Mexico–Canada Agreement (USMCA) will continue to enjoy a 0% tariff, while non-USMCA goods will face a 25% tariff. Additionally, non-USMCA compliant energy and potash will be hit with a 10% tariff.
Carney noted that Trump’s tariffs would “fundamentally change the international trading system.” While the U.S. has preserved some aspects of the trade relationship, existing tariffs on steel, aluminum, and goods justified by the fentanyl crisis will remain.
Another significant development is the 25% tariff on foreign-made automobiles, which took effect at midnight. Under the new rules, vehicles covered by the USMCA will be taxed based on their “non-U.S. content.”
Carney further warned that the U.S. has signaled additional tariffs on strategic sectors such as pharmaceuticals, lumber, and semiconductors. “These measures will directly impact millions of Canadians,” he said, adding that while there will be a gradual economic effect on the U.S., Canada is already seeing the consequences of these actions.
As Canada prepares for the economic fallout, Carney’s government is set to implement strong countermeasures to defend Canadian interests.