Trump, Canadian Govt In Talks Over Threat of Tariff Increment

The New Diplomat
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  • Canada Restates Cordial Ties Between Both Countries

By Abiola Olawale

The President-elect of the United States, Donald Trump, is currently threatening to table talks on increase in border tariffs on goods flowing from Canada to the US.

Trump, who is set to be inaugurated as the President of the US pledged to slap a 25 per cent tariff on all goods from Mexico and Canada and an “additional” 10 per cent tariff on Chinese products.

The President-elect explained that his decision was in response to what he described as “irregular border crossings and drug trafficking.”

In a statement posted on his social media platform, Truth Social, Trump announced his intention to implement tariffs on imports from Mexico and Canada commencing on the first day of his incoming administration.

He stated: “Both Mexico and Canada have the absolute right and power to easily solve this long-simmering problem.

“We hereby demand that they use this power, and until such time that they do, it is time for them to pay a very big price!”

Trump said in a subsequent post that he would also impose a 10 per cent tariff on China, “above any additional tariffs, until the country took action to stop fentanyl smuggling.”

In a swift reaction, Canada maintained that the decision of Trump would be detrimental to the longstanding cordial relationship between Canada and the US.

The Deputy Prime Minister, Chrystia Freeland, and Canada’s Public Safety Minister, Dominic LeBlanc, in a joint statement issued on Tuesday, said Canada is “essential” to the American energy supply.

The statement reads in part: “Canada and the United States have one of the strongest and closest relationships, particularly when it comes to trade and border security.

“Canada places the highest priority on border security and the integrity of our shared border.”

The Canadian government noted that Canada is essential to the U.S. domestic energy supply, explaining that 60 per cent of U.S. crude oil imports last year came from Canada.

The statement also highlighted the cooperation between Canadian and U.S. law enforcement to disrupt the scourge of fentanyl coming from China and other countries.

They added that the country will, of course, continue to discuss critical issues with the incoming administration.

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