By
Reuters
Printed
February 2, 2025
Canada will take authorized motion underneath the related worldwide our bodies to problem the 25% tariffs imposed by the USA on most Canadian items, a senior authorities official stated on Sunday, calling the tariffs unlawful and unjustified.
Reuters
The feedback come a day after Prime Minister Justin Trudeau introduced a wide selection of retaliatory levies of 25% on U.S. items in response the tariffs introduced on Saturday by President Donald Trump.
“We will obviously pursue the legal recourse that we believe we have through the agreements that we share with the United States,” the official stated, briefing reporters in Ottawa on situation of anonymity.
Trump utilized a 25% import tariff on all Canadian items, besides power merchandise akin to oil and fuel and electrical energy, which can carry an obligation of 10% whereas coming into the USA. The 25% tariff will likely be in impact beginning on Tuesday, whereas the power tariff will likely be applied beginning on Feb. 18.
In response, Canada has imposed tariffs on 1,256 merchandise, or 17% of all of the merchandise imported from the USA, beginning on Tuesday. The merchandise, together with orange juice, peanut butter, wine, beer, bikes, cosmetics and extra – which can add as much as as much as C$30 billion.
A number of the large ones are cosmetics and physique care of C$3.5 billion, home equipment and different home items of C$3.4 billion, pulp and paper merchandise C$3 billion, the official stated.
The Canadian authorities will publish one other checklist in three weeks time that can embody merchandise akin to passenger automobiles and vans, together with electrical automobiles, metal and aluminum merchandise, sure fruit and veggies, aerospace merchandise, the federal government stated in a press release. The imports have a complete worth of C$125 billion, it added.
The official stated the Canadian authorities thought-about the transfer by Trump unlawful and stated it violates the commerce commitments between the 2 international locations underneath their free commerce settlement and underneath the World Commerce Group.
“If other legal avenues are available to us, they will be considered as well,” the official stated.
The U.S. tariffs and the counter measures taken by Canada will impact the Canadian financial system, the official stated. The official declined to offer specifics on the influence.
Earlier on Sunday, the federal government stated it’s going to present a mechanism for Canadian companies to acquire reduction from retaliatory tariffs. Beneath the so-called “remission process,” Canadian companies may apply for tariff reduction or refunds, supplied they meet sure circumstances.
Trump ordered sweeping tariffs on items from Mexico, Canada and China, demanding that the international locations curb the stream of fentanyl – and unlawful immigrants within the case of Canada and Mexico – into the USA. Trump’s motion started a commerce battle that would hamper world financial development and reignite inflation.
Mexico and Canada are the highest two U.S. buying and selling companions.
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