Canada’s Foreign Minister Mélanie Joly has expressed confidence that Canada can prevail in the ongoing trade dispute with the United States, sparked by tariffs imposed by President Donald Trump. Speaking to the BBC’s World Service Weekend programme, Joly emphasized the significant economic interdependence between the two nations and the leverage Canada holds.
“We are the biggest customer of the US,” Joly stated. “We buy more from the Americans than China, Japan, the UK, and France combined.”
The trade dispute, driven by the Trump administration’s imposition of 25% tariffs on Canadian steel and aluminum, has raised concerns about increased prices and economic strain. The tariffs, set to expand further on April 2 under Trump’s proposed “reciprocal” tariff strategy, have become a focal point for Canadians as they prepare to vote in a federal election later this year.
Impact on Both Sides of the Border
Joly underscored that the tariffs are not only impacting Canadians but also affecting American workers and businesses. She expressed optimism that American citizens will push their lawmakers to end the trade war.
“We believe that the only ones who can help us win this war are the Americans themselves,” she said. “They’re the ones paying the price, and they can pressure their government to change course.”
The trade dispute has triggered protests in Canada, with demonstrators in Toronto organizing an “elbows up” rally—a hockey term symbolizing resilience—to oppose both the tariffs and Trump’s controversial remark suggesting Canada could become the 51st state of the US.
Political Ramifications and Upcoming Election
The issue is expected to be a major factor in Canada’s upcoming federal election, with Prime Minister Mark Carney potentially calling a snap election as early as Sunday, for an April 28 vote. Joly noted that the Liberal Party is determined to secure a strong mandate to address the trade tensions.
“The Liberal Party is very keen to ensure Canadians give us a clear directive on how to deal with Trump’s tariffs,” she said. “Canadians are deeply concerned about what’s happening in the White House and are looking for a leader with strong values.”
The election is shaping up to be a contest between Carney and Conservative Leader Pierre Poilievre, who has also taken a strong stance against the tariffs. Poilievre has positioned himself as the best candidate to challenge Trump directly.
“There is no good reason to do this to hardworking Canadians,” Poilievre said. “Stop the tariffs, stop the chaos.”
Carney has vowed to retaliate with reciprocal tariffs if Trump moves forward with his latest tariff threats, further escalating tensions between the two countries.
The Broader Economic Strategy Behind Tariffs
Trump’s tariff strategy is part of his broader economic policy aimed at boosting US manufacturing, protecting jobs, and balancing trade deficits. While he claims tariffs will generate tax revenue and stimulate domestic production, concerns have emerged about their potential to trigger a recession. US stocks plummeted when the metal tariffs were first announced, but Commerce Secretary Howard Lutnick defended the decision, stating the tariffs were “worth it” even if they led to an economic downturn.
The tariffs initially targeted China, Mexico, and Canada, which collectively account for over 40% of US imports. Trump has justified the tariffs by citing concerns over illegal immigration and drug trafficking, claims that all three nations have strongly denied.
As Canada braces for further economic strain and political shifts, the trade war remains a defining issue for both nations, with potential long-term consequences for their deeply interconnected economies.
