Canadian Energy Minister Jonathan Wilkinson has stated that Canada will respond soon to any tariffs imposed by the United States, emphasizing that his country is not seeking to escalate trade tensions.
Speaking on Tuesday, Wilkinson clarified that Canada is not in competition with the U.S., responding to White House remarks that suggested that the United States viewed its neighbour as a competitor.
The statement follows an announcement from the White House confirming that a planned 25% tariff on steel and aluminum imports from Canada and other countries would take effect on Wednesday.
However, later in the day, President Donald Trump reversed his decision to double these tariffs to 50%, just hours after announcing the increase. The sudden policy shift caused volatility in financial markets.
Additionally, a Canadian official backed away from a previously planned 25% surcharge on electricity, adding to the uncertainty in the market.
“The back-and-forth between the U.S. and Canada further unsettled financial markets already battered by Trump’s focus on tariffs,” the report noted.
Wilkinson expressed Canada’s desire for a constructive resolution and said the country would observe whether the tariffs are ultimately enforced. When asked about the possibility of the tariffs not taking effect, he pointed to the unpredictability of previous decisions, stating, “lack of predictability from the previous back and forth.”
