As U.S. President Donald Trump’s tariffs took effect on Tuesday, Canada’s federal government, alongside its provinces and territories, unleashed a swift and strategic wave of economic reprisals while rolling out protective measures to bolster local industries.
Here’s how they’re pushing back:
Nationwide Response: The federal government struck back instantly, imposing 25 per cent retaliatory tariffs on $30 billion in U.S. imports, with plans to target an additional $125 billion in American goods in three weeks if Trump’s tariffs persist. These measures, effective from 12:01 AM Tuesday, aim to pinch Republican-led states, hitting $3.5 billion in cosmetics and hygiene items, $3.4 billion in appliances and household goods, $3 billion each in pulp, paper, and tires, and $1.8 billion in plastics. The list also spans precious metals, furniture, wood, coffee, grains, alcohol, cocoa, tools, cutlery, dairy, sugar, sauces, and fruit.
British Columbia: Premier David Eby is redirecting government contracts to Canadian firms and yanking alcohol from Republican states like Texas and Florida off B.C. liquor store shelves.
Alberta: Premier Danielle Smith, after a Tuesday CNBC appearance reaffirming her refusal to weaponize oil exports, said Alberta’s full response would be unveiled Wednesday following cabinet talks.
Saskatchewan: Premier Scott Moe is still weighing options, emphasizing “economically sensible” countermeasures and ruling out energy-based retaliation.
Manitoba: The province is easing the burden with tax deferrals for affected businesses and purging U.S. alcohol from its liquor outlets.
Ontario: Premier Doug Ford is wielding heavy artillery, barring U.S. firms from $30 billion in provincial contracts and axing a $100-million Starlink deal tied to Trump ally Elon Musk. Ontario’s also slapping a 25 per cent surcharge on electricity exports to the U.S., with threats to sever power entirely by April if the trade war lingers. Mineral exports face similar surcharges or potential cutoffs as a last resort.
Quebec: Premier François Legault is rolling out a 12-month loan lifeline for companies, hiking bids from non-local U.S. firms by 25 per cent on public contracts, and tapping Hydro-Québec and the province’s investment arm to flex economic muscle. American-made liquor is also being pulled from stores.
New Brunswick: Premier Susan Holt unveiled a $162-million “tariff action plan” to aid struggling businesses, paused new U.S. contracts, and is mulling an electricity cutoff to Maine.
Nova Scotia: Premier Tim Houston is shutting U.S. companies out of provincial contracts, eyeing cancellations of existing deals, and doubling tolls for American commercial trucks on the province’s lone toll road.
Prince Edward Island: PEI is offering up to $32,000 in non-repayable aid per business, launching a loan program, auditing U.S. contracts, and clearing American products from liquor shelves.
Newfoundland and Labrador: Premier Andrew Furey is curbing U.S. procurement “where feasible” and banning American liquor sales in provincial stores.
Yukon: The territory halted new orders for U.S. alcohol and stripped existing stock from its shelves.