Canada’s Foreign Minister Mélanie Joly has expressed confidence that Canada can emerge victorious in the ongoing trade dispute with the United States, which was triggered by tariffs imposed by US President Donald Trump.
“We are the biggest customer of the US,” Joly told BBC’s World Service Weekend programme. “We buy more from the Americans than China, Japan, the UK, and France combined.”
The dispute began when the US imposed a 25% tariff on Canadian steel and aluminum imports. President Trump has also announced additional “reciprocal” tariffs, set to take effect on April 2.
The Impact of US Tariffs on Canada and the US
Joly emphasized that the US and Canadian economies are deeply interconnected, giving Canada significant leverage in negotiations.
“We have the most leverage in the world when it comes to the US,” she stated. “It is not just Canadians feeling the economic strain from these tariffs—hardworking Americans are also affected.”
The rising costs of goods and potential job losses on both sides of the border have heightened concerns. According to recent trade reports, the steel and aluminum industries in both countries have experienced increased costs and disrupted supply chains.
Canadians and Americans Both Feeling the Effects
Joly believes that American citizens may play a decisive role in resolving the trade dispute.
“Ultimately, the ones who can help us win this war are Americans themselves,” she said. “They can send a strong message to their lawmakers. We can win the hearts and minds of Americans because they are the ones paying the price for these tariffs.”
Canadian businesses, particularly in manufacturing and construction, have voiced concerns over increased production costs. Similarly, American businesses reliant on Canadian imports have warned of rising prices and potential layoffs.
Trade War a Key Issue in Canada’s Upcoming Election
The trade conflict is expected to be a crucial topic in the upcoming Canadian federal election. Reports suggest that Prime Minister Mark Carney may call for a snap election, potentially scheduled for April 28.
Both the ruling Liberal Party and the opposition Conservative Party have addressed the trade issue in their campaigns. Conservative Leader Pierre Poilievre has criticized Trump’s tariffs and positioned himself as the best candidate to stand up to the US president.
“There is no good reason to impose these tariffs on our people,” Poilievre stated. “Stop the tariffs, stop the chaos.”
Trump’s Stance on Tariffs and Future Implications
President Trump has defended his tariffs, arguing they will boost US manufacturing, protect jobs, and generate tax revenue. However, critics, including economists and business leaders, warn that these measures could lead to economic instability.
US Commerce Secretary Howard Lutnick has admitted that while tariffs might cause short-term economic disruptions, they are “worth it” to achieve long-term trade balance.
Growing Frustration and Protests in Canada
In response to the trade war, Canadians have taken to the streets in protest. In Toronto, demonstrators held an “elbows up” rally, a term borrowed from hockey, symbolizing resilience and defiance against Trump’s tariffs and his suggestion of making Canada the 51st US state.
Joly acknowledged the growing public frustration and reiterated that the Liberal Party is committed to securing a strong mandate to tackle the issue.
“Canadians are preoccupied with what is happening in the White House,” she said. “They want a leader with strong values to protect our interests.”
The Road Ahead for US-Canada Trade Relations
As tensions escalate, experts predict a prolonged standoff unless diplomatic negotiations yield a compromise. Prime Minister Carney has vowed to impose counter-tariffs if Trump’s threats materialize, setting the stage for further trade disruptions.
For now, both countries remain locked in a high-stakes economic confrontation, with businesses and citizens on both sides watching closely to see who will make the next move.