Foreign Affairs Minister Mélanie Joly says Canada’s plan to retaliate if U.S. President Donald Trump follows through on his threat to slap Canadian goods with across-the-board tariffs has drawn the attention of the Republican administration and fuelled a recent surge in support for the Liberal party.
Joly made the comments Saturday during a panel discussion on trade at an international security conference in Munich, Germany, where she told European leaders they could learn from Canada’s experiences dealing with Trump.
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“So my point to all of you is, we are the canary in the coal mine,” she told the audience. “If the U.S. administration is doing that to Canada, you’re next.”
The minister said there was a “big change” when Prime Minister Justin Trudeau responded to Trump’s initial threats by saying Canada would impose 25 per cent retaliatory tariffs on $155 billion worth of U.S. goods and respond swiftly to any steel and aluminum import taxes if they are imposed on Canada.
The U.S. government immediately took notice when stock markets started “tanking” and American consumers started fretting about the price of gasoline going up, Joly said.
“Ultimately, none of us will change the perceptions of President Trump,” she said. “The only people in the world that will make sure that tariffs are not imposed are the American people themselves. When they understand that this is affecting the (price of) gas at the pump and groceries … they’ll say, ‘enough!'”
Joly said the proposed U.S. tariffs represent an “existential threat” to Canada because they could lead to the elimination of hundreds of thousands of jobs. She said Canada and the European Union should co-ordinate efforts to respond to Trump’s threats.
Meanwhile, Trump has already signalled his intention to impose tariffs on the EU, suggesting the economic union continues to take advantage of an imbalanced trading relationship.
In Munich, Joly suggested Canadians have responded favourably to the Liberal government’s moves, saying the result has been a significant leap in public opinion polls that has largely erased the big lead the Conservatives have enjoyed for the past two years.
“I think our people in Canada reacted so strongly to the fact that we were so strong,” the minister said. “Within a week, we’re nearly at par with the Opposition because Canadians are afraid, are anxious and love the fact that we’re standing strong.”
During the panel discussion, U.S. Democratic Senator Andy Kim said Trump sold voters on the idea that U.S tariffs will be “paid for by other people, not the American people.” Kim said Trump is capitalizing on polls suggesting 73 per cent of Americans believe the U.S. loses more than it gains through international trade.
Trump remains vulnerable to a backlash because 64 per cent of Americans believe tariffs will raise domestic prices, Kim said, adding that 60 per cent of Americans disapprove of imposing tariffs on European countries.
Kim told the audience that European leaders must articulate the harm tariffs will bring to Europe, but also to the United States.
“The person who will ultimately make the decision about this is not ideological about this,” the New Jersey senator said, referring to Trump. “He’s thinking about a political stance, (but) it’s deeply unpopular amongst the American people, and it is perhaps an extraordinary vulnerability on his part.”
— Michael MacDonald
Read more:
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- Trump moves with dizzying speed on his to-do list, but there are warning signs