Canada will resort to counter-tariffs on the US if President-elect Donald Trump imposes his pledged 25% levy on Canadian goods, Canadian Prime Minister Justin Trudeau said in an interview with MSNBC’s Jen Psaki (watch, runtime: 1:56).

Not the first time: Trudeau referred to Trump’s 2018 levy on Canadian steel and aluminum, which was met by counter-tariffs on US-made motorcycles, orange juice, and alcohol, among other commodities. Canada remains the number one export partner of about 35 US states, and tariffs would end up harming the US economy, Trudeau said. The outgoing prime minister said he does not need a sitting parliament to impose tariffs.

What does Canada stand to lose? Canada remains the US’ single largest customer, buying up USD 320 bn worth of goods in the first 11 months of 2024, Bloomberg reports, citing data from the US Commerce Department.

What would counter-tariffs look like? The new counter-tariffs would target more items than those levied in 2018, according to a Bloomberg report, citing unnamed Canadian officials. One draft plan could target nearly every category of US-made products exported to Canada, although one official expressed doubt about fully matching the value of Trump’s tariffs.

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