Trump says ‘the friends have been worse than the foes’ after announcing new tariffs on Canada

In a letter to the Canadian prime minister published on Truth Social, US President Donald Trump announced that a 35% tariff on all goods imported from Canada will be imposed starting August 1. The move will escalate tensions in a months-long trade war between the two countries, which have close economic supply chains, with tariffs on billions of dollars worth of each other’s goods.

2:07 PM:
“In these extraordinary times, economic diplomacy is more important than ever, and we must preserve our open markets with trusted countries, including the European Union,” Canadian Industry Minister Melanie Joly said at a joint press conference with the European Commission Vice-President. “While the US pursues protectionist and isolationist policies, Canada must continue to work with long-standing allies,” she stressed.

1 p.m.:
The Canadian Chamber of Commerce warned that the constant shifting of deadlines and tariff levels has created a toxic and risky environment for businesses. “Trump’s letter will actually prolong the negotiations, but this instability and constant changing of the rules of the game is extremely damaging to businesses,” said Matthew Holmes, the chamber’s chief policy officer.

12 p.m.:
Unifor, Canada’s largest private-sector union, called on the government to “respond strongly” to the U.S. “Trump’s strategy is to threaten us with heavy tariffs and force us to accept lighter tariffs as the status quo,” said Lana Payne, the union’s national president. “We should not be fooled by this approach. This is not negotiation, this is blackmail.”

In his letter, Trump also suggested that companies that move their production to the United States could be exempted from these tariffs and promised to issue the necessary permits for these companies within weeks.

The Unifor union called on the government to create a national stockpile of aluminum, vital minerals and other essential goods to be better prepared for this trade crisis.

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