OTTAWA (Reuters)-Canada Prime Minister Justin Trudeau told US President Donald Trump on Tuesday that new US tariffs on Canadian imports were “a very stupid thing to do” and said Ottawa would return immediately.
Trudeau, speaking hours after Trump launched a trade war against Mexico and Canada, said Canada was imposing immediate 25% of Canadian $ 30 billion in US imports and, if necessary, would reach another 125 billion in 21 days.
“There is absolutely no justification or need for these tariffs today,” Trudeau told reporters, adding that Canada would challenge US measures in the World Trade Organization and through the US-Mixico-Canada trade agreement.
Trump has stated that Canada failed to do enough to contain the flow of fentanile deadly opioid and his chemical precursors to the US, an argument Trudeau called “completely misleading, completely unjustified, completely false.”
Trudeau, who will leave the position of Prime Minister after the liberal party in power chooses a new leader on Sunday, warned the Canadians that difficult times were coming. Economists say Canada, which sends 75% of all exports to the United States, will dive into a recession less than tariffs are quickly suspended.
But they also say that Americans will probably suffer too, given the close connection between the two economies. In late January, the Wall Street Journal said Trump would release “The Duriest Trade War in history” to go ahead.
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“It’s not my habit agreeing with the Wall Street Journal, but Donald, they point out that even if you’re a very smart guy, that’s a very stupid thing to do,” said Trudeau.
