Summary
Canada’s finance minister, François-Philippe Champagne, stated that the United States is unlikely to lift tariffs on Canadian goods. This follows President Trump's plan to use tariffs instead of income taxes for U.S. revenue and a Supreme Court decision striking down a previous tariff policy. Canada faces tariffs on materials like steel and aluminum, even though it has some exemptions under the USMCA trade deal.
Key Facts
- Canada's finance minister, François-Philippe Champagne, discussed tariffs after President Trump's State of the Union address.
- President Trump plans to use tariffs as a main source of U.S. government revenue.
- A new 10% worldwide tariff was imposed by President Trump under Section 122 of the 1974 Trade Act.
- Section 122 allows the U.S. President to apply tariffs up to 15% for 150 days.
- Canada has some tariff exemptions under the USMCA trade deal but still faces tariffs on steel and aluminum.
- The U.S. Supreme Court recently struck down a previous broad tariff policy by President Trump.
- The U.S. is Canada's largest trading partner, accounting for about 75% of Canadian exports.
