President Trump declared he would impose permanent tariffs of 25% on automobile imports
Canadian Prime Minister Mark Carney strongly condemned U.S. President Donald Trump’s new auto tariffs on Wednesday, calling them a “direct assault” on Canada and cautioning that American consumers and workers would ultimately suffer.
Earlier the same day, President Trump declared he would impose permanent tariffs of 25% on automobile imports. “This is permanent,” Trump emphasized in a clear message.
Responding forcefully, Carney stated, “This is an outright attack. We will protect our workers, safeguard our companies, and stand up for our country.”
Carney, who said he would review the details of Trump’s executive order before deciding on retaliatory steps, branded the tariffs as unjustified. He intends to interrupt his election campaign to chair an emergency Cabinet committee on U.S. relations in Ottawa on Thursday.
In anticipation of the economic impact, Carney earlier introduced a CA$2 billion ($1.4 billion) “strategic response fund” to secure Canadian auto industry jobs threatened by the U.S. tariffs.
The auto sector is Canada’s second-largest export industry, directly employing around 125,000 Canadians and indirectly supporting nearly half a million others in related fields.
“We stand with our auto workers,” Carney assured Canadians.
President Trump’s latest move follows a temporary one-month exemption previously granted to American automakers importing from Canada and Mexico. The ongoing global trade conflict, marked by unpredictable tariff threats, has been escalating economic uncertainty.
On Tuesday, the Conference Board reported U.S. consumer confidence dipped by 7.2 points in March to 92.9—the lowest level since January 2021, highlighting the growing impact of Trump’s trade actions.
“His trade policies are damaging American consumers and workers,” Carney noted during a campaign rally in Windsor, Ontario, ahead of Canada’s April 28 election. “Consumer confidence in America is at a multi-year low, and it will likely get worse.”
Higher auto import taxes could significantly raise production costs and reduce sales, worsening economic pressures on both sides of the border. Trump previously imposed similar tariffs on Canadian steel and aluminum and now threatens to expand tariffs broadly against all Canadian products by April 2.
“He wants to weaken us to dominate us, but that will never happen because we Canadians stick together,” Carney declared.
Speaking near the Ambassador Bridge, the critical trade route between Canada and the U.S., Carney highlighted its significance, noting that the bridge handles about 25% of the trade between the two countries, amounting to CA$140 billion ($98 billion) annually or roughly CA$400 million ($281 million) each day.
“All these numbers—and the livelihoods tied to them—are now at risk,” said Carney. “Canada did not initiate this shift in relations; it’s entirely on the U.S. side.”
Ontario Premier Doug Ford warned that Trump’s tariffs would trigger simultaneous shutdowns of auto plants in Ontario and Michigan. “Trump calls it Liberation Day, but for American workers, it’s Termination Day,” Ford remarked, alluding humorously to Trump’s famous phrase from his television days: “You’re fired.”
The rising trade tensions come amid Trump’s controversial suggestion that Canada should become America’s 51st state, a stance provoking strong backlash and audible boos at Carney’s recent rally in Kitchener, Ontario.
Since Carney’s inauguration on March 14, the new Prime Minister has yet to speak directly with Trump—a notably lengthy delay for traditional diplomatic exchanges.
“Given Trump’s recent actions, it would be appropriate for us to have a conversation, and I’m confident it will happen soon,” Carney said.
Opposition Conservative leader Pierre Poilievre called Trump’s tariffs detrimental to auto workers in both countries. “Trump needs to stop playing games,” Poilievre stated. “He’s reversed himself before; perhaps he’ll reconsider again.”