Canada has figured out how to respond to Trump's tariffs: America faces a trade war

Canada-US Trade War enters an acute phase. In response to Donald Trump's threats to impose tariffs, Canadian regional premiers appeal to fellow citizens not to buy American goods, writes VancouverOKMeanwhile, toCanadian and Mexican steelmakers turn down new US orders, Said Financial Post.

Photo: Olesya Kuzina | Dreamstime.com

On the eve of the inauguration of US President Donald Trump, Ontario Premier Doug Ford said that once the United States imposes its tariffs, all American alcohol will disappear from the region's shelves. Incidentally, Canada is the world's largest buyer of American whiskey.

David Eby, who heads another large region of Canada, British Columbia, supported his colleague. He said that the province would join Ontario and also remove American alcohol from store shelves. This could happen on February 1, the date Trump announced for the introduction of a 25% duty on Canadian exports. Eby agreed with Ford's words that "America needs to feel the pain."

On the subject: Trump Proposes Making Canada the 51st US State

Meanwhile, prime ministers have issued a plea to Canadians to look at labels in stores and ignore American goods. David Eby even suggested that citizens reconsider their attitudes toward international travel, which supports American businesses.

"It's very strange for me to say this, but I really do think so. If tariffs are imposed, then we should adjust our vacation plans or summer vacations. If the threat of a tariff is carried out, if the president of the United States makes a deliberate economic attack on families in our province, in our country, we should really think twice before spending our money in the United States," he said.

Meanwhile, some steelmakers in Canada and Mexico are telling customers they are refusing to take new orders from the United States over concerns that President Donald Trump will soon impose tariffs.

Canadian Stelco Holdings Inc. notified U.S. customers last week that it was suspending price quotes, according to a person familiar with the matter. Mexican suppliers, anticipating possible action from Trump, also stopped taking material orders, Flack Global Metals said.

Last week, Trump hinted that he planned to impose tariffs of up to 1% on products from Mexico and Canada starting February 25. Although the two countries were exempt from the 25% tariff on steel imposed during Trump's first term, there is growing concern in the industry that they will be subject to the same fate this time.

"There's a lot of anxiety and trade policy changes in the Mexican steel industry," said Jeremy Flack, CEO of Arizona-based steel distributor Flack Global Metals.

Canada is the largest foreign source of steel imports to the United States, with Mexico ranking third, according to the U.S. Commerce Department. The U.S. will consume about 2023 million tons of steel in 91, with imports accounting for about 27% of total demand, according to research from Morgan Stanley.

You may be interested in: top New York news, stories of our immigrants and helpful tips about life in the Big Apple - read it all on ForumDaily New York

Stelco's parent company, U.S.-based Cleveland-Cliffs Inc., did not immediately respond to requests for comment.

Cleveland-Cliffs, the second-largest steelmaker in the U.S., agreed to acquire Canadian-based Stelco last year. Asked whether Trump tariffs on steel from its newly acquired Canadian company were possible, CEO Lourenco Goncalves said he would follow Trump's policy.

“President Trump will do what President Trump wants to do. He has a plan, and I will act accordingly,” Goncalves responded. “I am a grown man and I bought Stelco knowing that it was in Canada. You know what? America first.”

Read also on ForumDaily:

How Trump Will Change the US Economy on His First Day in the White House

Trump Threatens BRICS Countries with 100% Tariff: Which Goods Will Become More Expensive in the US If It Is Introduced

Trump is going to return the Panama Canal, buy Greenland and annex Canada to the US

Do you want more important and interesting news about life in the USA and immigration to America? — support us donate! Also subscribe to our page Facebook. Select the “Priority in display” option and read us first. Also, don't forget to subscribe to our РєР ° РЅР ° Р »РІ Telegram  and Instagram- there is a lot of interesting things there. And join thousands of readers ForumDaily New York — there you will find a lot of interesting and positive information about life in the metropolis.