By Daily Mail (U.S.) | Created at 2025-03-12 15:42:19 | Updated at 2025-03-12 21:21:58
5 hours ago
Canada announced $21 billion in new tariffs on Wednesday targeting imports of U.S. computers and sports gear.
It is the latest escalation of the increasingly bitter and costly trade war engulfing Washington and Ottawa.
The latest move comes hours after President Donald Trump's 25 percent tariffs on Canadian steel and aluminum went into effect.
Canada is the largest foreign supplier of both metals to the U.S.
Dominic LeBlanc, the Canadian Finance Minister, said on Wednesday that the list of products impacted by the new tariffs includes computers, sports equipment and cast iron products.
LeBlanc said: 'Today, I am announcing that the government of Canada, following a dollar-for-dollar approach, will be imposing, as of 12:01 a.m. tomorrow, March 13, 2025, 25 percent reciprocal tariffs on an additional $29.8 billion of imports from the United States.'
He added: 'This includes steel products worth $12.6 billion and aluminum products worth $3 billion as well as additional imported U.S. goods worth $14.2 billion.'
The trade war between the U.S. and Canada continues after the northern neighbors announced a new wave of reciprocal tariffs after the 25 percent penalty on Canada's steel and aluminum went into effect this week
Canada folded to Trump on Tuesday after he vowed the nation would pay a historically big 'financial price' for the electricity tariff it was imposing on parts of the U.S.
Ontario Premier Doug Ford reversed course and said he would cancel the 25 percent tariff on Canadian electricity supplied to northern states of Michigan, New York and Minnesota.
Trump agreed after Canada backed down not to double tariffs on Canadian steel and aluminum to 50 percent, meaning they will stay at 25 percent.
Canada's electricity tariffs implemented on Monday was an escalation in the trade war and came in response to earlier tariffs from Trump.
The Premier said he spoke with Commerce Secretary Howard Lutnick about the situation and they agreed to meet Thursday to discuss reciprocal tariffs that Trump wants to put in place on April 2.
'Ontario agreed to suspend its 25 percent surcharge on exports of electricity to Michigan, New York and Minnesota,' Ford said.
Amid the intensifying trade war, the president reiterated his call for the U.S. to bring Canada into the fold.
'Canada should honestly become our 51st state. we wouldn't have a northern border problem. We wouldn't have a tariff problem,' Trump said.
'Canada would be great as our cherished 51st state. You wouldn't have border problems. You wouldn't have anything.'
Earlier Tuesday Trump declared a national emergency on electricity in the United States and doubled the tariffs on aluminum and steel from Canada after Ford enacted the electricity tariff.
Canadian Finance Minister Dominic LeBlanc said Wednesday when announcing the tariffs that the latest list of products impacted by this trade war includes computers, sports equipment and cast iron products
