Canada Prepares for Tariff Showdown with Incoming U.S. Administration

Canada's Finance Minister Chrystia Freeland has confirmed a robust response from Ottawa and provinces if the U.S. imposes tariffs on Canadian imports. Despite disagreements among provincial premiers, Canada is considering export taxes on commodities. However, no final decision has been reached on any retaliatory measures.

Ottawa is gearing up for a potential clash with the incoming U.S. administration, as plans are made to counter possible tariffs on Canadian imports. Finance Minister Chrystia Freeland, along with Prime Minister Justin Trudeau, is leading the effort to devise a strategic response, though details remain undisclosed.

The U.S. tariffs, threatened by President-elect Donald Trump, aim to pressure Canada into addressing issues like drug trafficking and illegal immigration. In response, Canada is exploring various countermeasures, including export taxes on resources such as uranium and oil, according to a government insider.

Despite the call for a unified national stance, some provincial leaders, including Saskatchewan's Scott Moe and Alberta's Danielle Smith, oppose the proposed export taxes. They argue such measures may harm the Canadian economy more than U.S. tariffs, highlighting the complexities of the situation.

(With inputs from agencies.)