Canada hit up at the United States over Donald Trump’s 25 per cent car taxes and imposed retaliatory work on the imported US cars.
Canada slapped a 25 per cent tax on cars imported from the US that are not cooperative with the Canada-U. S. Mexico Agreement ( CUSMA ).
Addressing a briefing in Ottawa on Thursday, Canada’s Prime Minister Mark Carney said the state will even establish the price on non-Canadian information of any CUSMA-compliant automobiles from the US and added that Mexico won’t be impacted, CBC media reported.
” Our tariffs will not affect auto parts because we know the benefits of our integrated production system”, he said, adding that the government is developing” a framework” for automakers to avoid counter-tariffs as long as they maintain production and investment in Canada.
American PM said he doesn’t think the US leadership will change its present direction on trade policy until it becomes obvious that U. S. individuals and employees are hurt by it, reported CBC.
” Given the potential harm to their own people, the American management may eventually change course. But I don’t want to provide fake hope”, he said.
Due to outlining Canada’s countermeasures, Carney emphasised that the current global economic condition has undergone a significant change compared to the previous evening.
” Today’s activities by the U. S. leadership, while not specifically targeting Canada, will tear the global market and adversely affect global economic growth”, he said.
” Our old relationship of steadily deepening integration with the United States is over. The 80-year period when the United States embraced the mantle of global economic leadership … is over”.
Whilst Canada avoided the 10 per cent baseline tariffs imposed on numerous other nations, the 25 per cent U. S. duty on imported automobiles, implemented at midnight, will significantly affect the Canadian automotive sector.
In addition to implementing reciprocal tariffs, Carney indicated that the government is challenging these duties through legal channels and has approached the World Trade Organization to contest the tariffs ‘ violation of international trade regulations.
