By Sahid Fawaz
The trade wars are escalating quickly, with Canada striking back at the US.
“Canadian Prime Minister Justin Trudeau retaliated swiftly against metal tariffs announced by President Donald Trump, imposing levies on as much as C$16.6 billion ($12.8 billion) of U.S. imports in what Canada calls its strongest trade action since the Second World War.
Trudeau invoked decades of battles fought alongside the U.S. and defending North American airspace as proof that the U.S. tariffs based on a national security investigation are ‘unacceptable’ and ‘punitive.’ The Canadian tariffs will be 25 percent on steel and 10 percent on aluminum, and aim to match U.S. penalties on a dollar-for-dollar basis based on export values, according to Foreign Affairs Minister Chrystia Freeland.
‘We have to believe that at some point their common sense will prevail,’ Trudeau told reporters in Ottawa Thursday. ‘But we see no sign of that in this action today by the U.S. administration.’
The tariffs take effect on July 1 and will last until the U.S. ends its move. The measures will cover goods beyond aluminum and steel. Canada will also launch challenges of the U.S. tariffs at the World Trade Organization and through a Nafta panel.”
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