Key Details:
- Carney says terms presented by the U.S were a ‘bad deal.’
- Trump fires back, threatens to increase auto tariffs to 50%.
- Trump and Ford get into heated exchange: ‘King of bankruptcies.’
- 50% tariffs on roughly $28B in Canadian goods are now in effect.
Just days after trade negotiations with the United States fell apart, Prime Minister Mark Carney is reiterating that the U.S. deal on the table would not have benefited Canadians, calling it a “bad deal.”
“When the Americans go to the negotiating table first, with the right attitude toward our industries and a true partnership, of course we’ll come to the negotiating table,” Carney said during an announcement in Lévis, Que. on Monday.
“An attitude at the negotiation table that Canada is a subsidiary of the United States, that Canadian industry is going to be disadvantaged relative to American industry, that we are going to set up terms so that over time Canadian industry is going to face constant headwinds, that’s not something we’re going to accept.”
Earlier Monday, U.S. President Donald Trump threatened to increase tariffs on all cars and trucks to 50 per cent next year following a collapse in trade talks with Canada.
Trump over the weekend also accused Canada of wanting “the benefits of being a State, without being one!!!”
Follow along for key updates:
‘It was a bad deal’: Carney
Speaking to reporters following his announcement in Lévis, Que., on Monday, Carney said in French that the terms presented by the U.S were a “bad deal.”
Asked later to respond to comments by U.S. Secretary of Transportation Sean Duffy that Carney will be forced to return to the negotiating table because the tariffs will be “devastating” to Canada, the prime minister said officials will resume talks when their American counterparts have “the right attitude towards their industries.”
“Let’s be clear: there is an existing arrangement between our country that works,” Carney said.
“It can be improved. There are ways to improve it, and we will work to improve it in ways that are to the benefit of Canadians, but also to the benefit of Americans and the people of Mexico.”
“But an attitude at the negotiation table that Canada is a subsidiary of the United States, that Canadian industry is going to be disadvantaged relative to American industry, that we’re going to set up terms so that over time Canadian industry is going to face constant headwinds, that’s not something we’re going to accept,” he added.
Spencer Van Dyk, CTVNews.ca writer and producer
Trump to increase auto tariffs to 50%
U.S. President Donald Trump is firing back at Canada by announcing he will increase tariffs “on all Cars, Trucks, both large and small, Automotive Parts, and Steel” to 50 per cent on New Year’s Day.
“Build in the U.S. and there are ZERO TARIFFS. Canada will be treated like a State no longer! On Trade, and in other ways, also, they are among the worst Nations in the World to deal with,” Trump said in a post on his Truth Social platform Monday.
“They feel entitled, and yet, WE DON’T NEED CANADA, THEY NEED US! They do 95% of their business with the U.S., with us, the exact opposite! Thank you for your attention to this matter!”
Michael Lee, CTVNews.ca lead morning producer
Deal was not ‘in economic interest of Canada’: LeBlanc
Canada-U.S. Trade Minister Dominic LeBlanc is standing by Prime Minister Mark Carney’s decision to walk away from U.S. President Donald Trump’s trade offer, telling BNN Bloomberg there was ultimately no “deal or offer that was in the economic interests of Canada.”
LeBlanc said a series of developments on Friday led the prime minister to reject the proposal, citing concerns about tariff treatment for Canadian auto parts and vehicles.
“Ultimately when some of these things were being retraded or the language didn’t give us a degree of reliability that Canadians expected. We concluded that the deal that we had hoped to get and that we had negotiated in good faith towards achieving simply wasn’t there,” he told BNN Bloomberg on Monday.
LeBlanc also said the Americans sought to make last-minute changes to the agreement that would have restricted Canada’s ability to pursue free-trade deals with other countries.
“They wanted tariff-free access to the Canadian economy, and they were proposing a series of measures in strategic sectors that ultimately wouldn’t have put us in a commercially viable circumstance, so we didn’t accept it.”
Kayla Thompson, CTVNews.ca journalist
Doug Ford and Donald Trump exchange war of words
Ontario Premier Doug Ford is slamming Donald Trump as a “dictator” and the “king of bankruptcies” after the U.S. president criticized him on social media on Monday afternoon.
In a post on Truth Social, Trump referred to Ford by the name as “the less charismatic, intelligent, and overall unimpressive brother of the late, great, Rob Ford” before noting that Canada “couldn’t survive” without the U.S.
Ford responded to the remarks at a news conference moments later.
“I am not going to take any advice off a guy that is the king of bankruptcies and he is actually tariffing his own people, taxing his own people,” Ford said. “I am going to be reaching out to every single governor, every single senator and when it comes to the (U.S.) midterms I have a message to the Americans: don’t vote in a person that is going to kill your jobs.”
Chris Fox, Managing Digital Producer, CP24.com & CTVNewsToronto.ca
Ford calls on feds to help province
Ontario Premier Doug Ford is calling on the federal government to help the province “withstand the economic pain” that will accompany a renewed trade war with the U.S. through a number of concrete steps.
Ford told reporters at a news conference in Hamilton, Ont. on Monday that the federal government should “eliminate federal greenhouse gas emission standards for Canadian-made vehicles and exempt tariff-impacted sectors from federal emissions performance standards.”
He said that doing so would save Canadian businesses “hundreds of millions of dollars in compliance costs.”
“In response to these tariffs the federal government needs to work with us to take urgent action to strengthen the competitiveness of key Ontario industries,” he said.
Chris Fox, Managing Digital Producer, CP24.com & CTVNewsToronto.ca
‘He can kiss my ass’: Ford lashes out at Trump over latest tariff threats
Premier Doug Ford had harsh words for U.S. President Donald Trump who vowed on Monday to increase tariffs to 50 per cent on all Canadian cars, trucks, automotive parts, and steel on New Year’s Day.
“He can kiss my ass as far as I’m concerned,” Ford told Newstalk 580 CFRA host Bill Carroll on Monday morning. “We are going to go at him full steam.”
Ford said he is considering putting an export tariff on electricity to make the U.S. “feel the pain.”
He urged all premiers across the province to “start jumping into the fight.”
“I can’t be standing alone on this,” he said.
“Every single province, or majority of them, deliver electricity down to the U.S. Alberta delivers 4.1 million barrels of oil down in the U.S.”
Codi Wilson, CP24.com journalist,
Vance says negotiations are ongoing
U.S. Vice President JD Vance said on Monday that negotiations with Canada are ongoing and that the U.S. would press for fairness in trade.
“They came in with a bunch of unreasonable last-minute demands,” Vance told an audience in Brewer, Maine. “I think that we should have a deal, but I think that we need to send a message loud and clear to the Prime Minister of Canada: stop taking advantage of the people of Maine. Stop taking advantage of America. It’s over. We expect fairness in our trade policy.”
Reuters, Read the full article here
Hold out for ‘the best deal’: Holt
Speaking to reporters on Monday, New Brunswick Premier Susan Holt also expressed support for Canadian negotiators and said it’s important to hold out for the best deal possible.
“New Brunswickers have been clear: we don’t want our province to make concessions or compromise who we are or the value of what we produce in the face of a deal that isn’t fair or in our best interests,” Holt told reporters Monday.
“We want the best deal for New Brunswickers,” she also said. “Not just any deal, and certainly not a bad deal.”
The premier added it’s impossible to negotiate a “fair deal” when the other side continues to change the terms, and said while New Brunswickers have already shown themselves to be loyal to local and domestic industries, now is the time to “double down.”
“Every dollar we spend supporting New Brunswick businesses helps keep someone in our province working, and helps strengthen our economy,” Holt said.
Spencer Van Dyk, CTVNews.ca writer and producer
‘Discriminatory tax’: Greer on French language sticking point
U.S. Trade Representative Jamieson Greer said not only does he “like the Quebecois” and the fact “that they speak French,” he stressed he and his children speak French, with one of them born in Paris.
Greer told CNBC Monday morning that language-centred trade issues connected to the breakdown in negotiations were a “funny fake story.”
Greer said the sticking points actually came down to Canada’s push to get big streamers like Netflix to pay a certain portion of their profits to Canadian or Quebecois content producers. He called this “a tax, a discriminatory tax on American companies.”
The U.S. has consistently taken issue with Canadian legislative efforts requiring streamers to make it easier to find local content in Canada, and to pay a proportion of Canadian revenues back into Canadian content.
Greer, however, called Quebecers wanting to prioritize the French language and protecting national identity a “really valuable thing” in keeping with the U.S. administration’s values.
Abigail Bimman, CTV National News correspondent
Danielle Smith, Doug Ford discuss trade war
Alberta Premier Danielle Smith and Ontario Premier Doug Ford discussed Canada’s ongoing trade war during a Monday phone call.
In a statement sent to CTV News, Smith confirmed the pair chatted on Monday.
“As I’ve said in the past, cutting off Alberta energy exports to the U.S. would be extremely harmful to Canadians and is not a viable option.”
“Right now, our focus must be on immediate action: supporting affected workers and businesses, dismantling interprovincial trade barriers, strong diplomacy and continuing to grow our export markets.”
Smith says she looks forward to “discussing these constructive strategies” with Prime Minister Mark Carney and Canada’s premiers.
Melissa Gilligan, CTVNews Calgary journalist
‘We will never be the 51st state’: B.C.’s Eby
B.C. Premier David Eby says Canada needs to “hit back” after U.S. President Donald Trump’s 50 per cent tariffs came into effect.
“We like our American partners and friends, but there is a line. We are a separate country. We have our own vision for the country and for where we’d like to go, and we will never be the 51st state,” he told CNN on Monday.
Eby argued Canada’s trade surplus with the U.S. is largely driven by energy exports and said the tariffs would drive up the cost of goods ranging from building materials to cut flowers and fishing equipment.
“The rest of the world will say enough in terms of hitting your number one customer with a 50 per cent tariff and expecting that we wouldn’t do the same is bizarre. So we will,” he said.
Kayla Thompson, CTVNews.ca journalist
B.C. minister warns of job losses
B.C.’s Jobs and Economic Development Minister Brenda Bailey defended the federal government’s decision to walk away from the trade talks last week, saying “stepping away from a bad deal is the right thing to do.”
“It’s going to be rough,” Bailey told CTV News on Monday. “And it’s scary for people. We don’t know what comes next with this president. He’s very unpredictable.”
Bailey said workers in B.C., Quebec and Ontario will feel the effects of the new tariffs most acutely, with job losses anticipated across multiple sectors.
In response, the provincial and federal governments are preparing a package of financial support for businesses, she said, including grants and loans similar to the assistance provided during the COVID-19 pandemic.
Todd Coyne, CTVNewsVancouver.ca journalist. Read the full story here
Canada to blame: Greer
Jamieson Greer says Canada ultimately wanted more than Washington was willing to offer.
Greer said Monday during an interview on CNBC that Canada had maintained restrictions on U.S. wine, spirits, dairy and autos, prompting the U.S. to impose targeted tariffs covering about five per cent of Canadian imports.
He said there was significant progress in negotiations, with the U.S. offering to halve steel and aluminum tariffs and substantially reduce auto tariffs.
He also dismissed concerns about a broader trade war.
The Associated Press
Mexico’s Sheinbaum seeks U.S. trade deal
Mexican President Claudia Sheinbaum said she expects to reach a trade agreement with the United States, echoing recent comments made by U.S. President Donald Trump.
The push for a Mexico-U.S. agreement comes amid escalating trade friction between Washington and Ottawa. The United States on Saturday imposed 50 per cent tariffs on certain Canadian goods after bilateral negotiations collapsed, with both sides accusing the other of derailing the talks.
Reuters
The trade war ‘makes no sense’
The latest tariff escalation between Canada and the United States is drawing concern in Washington, including among Republicans facing competitive races, according to Larry Haas, a senior White House official under former U.S. president Bill Clinton.
Haas told CTV News Channel the economic consequences could extend well beyond the immediate impact of the tariffs.
“This can have a real impact on the average American,” he said, warning the dispute could spiral into further retaliatory measures. He said the threatened tariffs, which will not take effect until Jan. 1, appear to be a negotiating tactic, but warned the threat itself is already affecting business decisions.
“The mere threat of tariffs will have an economic impact,” Hass said, noting both countries will be affected.
“This trade war makes no sense,” the former White House official concluded, urging both sides to return to the negotiating table.
Archie Niari, CTVNews.ca journalist
Canada must ‘stand up strong’ in tariff fight
The latest Canada-U.S. negotiations broke down after the U.S. sought greater influence over Canada’s trade relationships, culture and sovereignty, said Tabatha Bull, a member of the prime minister’s Advisory Council on Canada-U.S. Relations.
“The U.S. wanted to have more control over us entering into other trade agreements,” said Bull, who is also president of the Canadian Council for Indigenous Business.
She said Canada should continue building relationships with other markets around the world. However, she urged caution as premiers call for stronger retaliation against U.S. tariffs.
Bull said Canadians should look into how they can “stand up strong together” and strike back without having “more harm” on the Canadian economy.
Archie Niari, CTVNews.ca journalist
Trade talks won’t resume ‘anytime soon’: Laing
The president and CEO of the Canadian Chamber Commerce says she doesn’t foresee the resumption of trade talks “anytime soon,” and that we need to be “prepared for the long haul.”
“We’ll see what happens over the next few months,” Candace Laing, who also sits on the advisory committee on Canada-U.S. economic relations, tells CTV News Channel.
“There’s a scenario where perhaps once December, January comes, is that a time where we’ve cooled down and are ready to get back to the table, especially in the context of CUSMA needing our attention?”
The federal government, meanwhile, has vowed to impose retaliatory tariffs on U.S. goods starting after Labour Day.
“It’s my understanding we’re using this time less so to see if there’s a reaction or response from the United States, but more so to make sure those measures are surgical, and surgical to the extent that they would, of course, limit any self harm,” Laing says.
She adds her current focus is on helping businesses already hit by tariffs access supports as quicky and efficiently as possible.
Samantha Pope, senior producer, CTV’s Power Play with Vassy Kapelos
Tariffs ‘chiefly damaging’ to U.S. auto assembly
The head of the Automotive Parts Manufacturers’ Association says U.S. President Donald Trump’s threats to raise tariffs on all cars, trucks and automotive parts from Canada to 50 per cent in January will be “chiefly damaging” to the U.S. auto assembly.
Flavio Volpe, who serves on the advisory committee on Canada-U.S. economic relations, explains U.S. assembly plants rely heavily on specialized Canadian auto parts delivered on a “just-in-time” basis.
“They might have 24 hours worth of parts,” he says. “If you don’t bring the seats in from London, Ont. to your truck plant in Warren, Mich., then you’re not making that truck, and that means every other supplier to that truck line across the U.S. has to put their tools down.”
Volpe says if the United States tariffs Canadian auto parts, they’ll have to accept an estimated $30-million bill a day, which the U.S. auto assembly will have to pay.
“You can’t go to Walmart to get bumpers and steering wheels for Hondas. You either have a factory that makes them, or you don’t,” he says.
“And so that threat actually isn’t real unless what he’s actually threatening is to shut down the U.S. auto sector.”
Volpe called for cooler heads to prevail amid the collapse of trade talks with the U.S.
Speaking to host Carolyn Jarvis on CTV News Channel, Volpe appears to reference earlier comments from Ontario Premier Doug Ford in which he said Trump can “kiss my ass” and that all options for retaliation should be on the table.
“We should not react in the moment and invite people to kiss our rear-ends,” Volpe says.
Though Volpe says he’d “rather have a fired-up premier than not,” and notes that he really appreciates Ford’s passion for the industry, he’s urging caution.
“We’re dealing with someone who’s very thin-skinned in the White House,” he says. “To get him to de-escalate, it’s probably better to not tangle with him in the mud.”
Samantha Pope, senior producer, CTV’s Power Play with Vassy Kapelos
We are in ‘chaos zone’
A former federal cabinet minister says the fallout from the failed trade talks between Canada and the U.S. will be difficult for both countries, describing the current condition as a “chaos zone.”
James Moore, who was a minister under former prime minister Stephen Harper, argued the U.S. tariff strategy is ultimately damaging to both economies, while accusing U.S. President Donald Trump of “unfairly” targeting Canada.
“It’s awful for the United States and Canada,” he said.
Moore also warned that domestic political pressures in the U.S. could continue driving the administration’s approach to trade.
The former official also noted that Canada’s response has asserted its position but warned the next phase could be increasingly confrontational.
Archie Niari, CTVNews.ca journalist
Talks breakdown ‘regrettable’
The U.S. imposed trade tariffs on Canada are a “really concerning escalation” from the Trump administration, said John Cuddihy, vice-president of climate and environment at the Canadian Steel Producers Association.
He said the breakdown of the talks was “regrettable” but admitted “no deal is better than a bad deal.”
He also said the current circumstances present Canada’s steel producers with uncertainty.
“We have to work on where we have control (on), what we can do to look at the future and how do we make that better,” he said.
“Historically, half of our production has gone to the United States,” he said, however noting that amount has dropped by 60 per cent under the current U.S. tariffs.
Cuddihy concluded by saying that the industry has so far been “resilient” against laying off its workforce, but if conditions do not improve, that will become an option.
Archie Niari, CTVNews.ca journalist
Trade lawyer confident in Canada’s negotiating
Trade lawyer Jaques Shore said Canada has to be very careful at this moment in the trade war, when emotions can get in the way.
“We obviously have to recognize that we are basically masters of our own home,” he told CTV News Channel on Monday. “We have to be able to feel that in the negotiations we have with another party that we’re being respected on the key issues that are important to us.”
He added that while the breakdown in talks is unfortunate, he’s confident Canada is doing the right thing.
“What we don’t want to do is put in the emotion that makes it more difficult for us eventually,” Shore said. “And I think we have a chance to get back to the table.”
Elianna Lev, CTVNews.ca multi-platform writer
‘First shots fired’ says political commentator
Scott Reid, CTV News political commentator, says the quick escalation in the trade war means we’re now seeing the “first shots fired.”
He said Trump’s threats on Monday that he’ll increase Canadian auto tariffs to 50 per cent in January comes as no surprise.
“He wants to get his midterm elections out of the way, before there might be any pain spread on the American side,” Reid said.
He added that the back and forth on who did and said what is exactly what can be expected in the first days of a trade war.
“All of it is increasing the level of emotion,” Reid said. “All of it points toward escalation.”
Elianna Lev, CTVNews.ca multi-platform writer
Border communities brace for fallout
Communities on either side of the Canada-U.S. border are bracing for further economic fallout after trade talks collapsed and both countries moved deeper into a tariff fight.
Michigan Gov. Gretchen Whitmer says residents in her border state were “uniquely impacted” by the trade dispute, arguing tariffs drive up costs for families and businesses and threaten its auto manufacturers.
New York Gov. Kathy Hochul says the president was “needlessly picking fights” with U.S. allies.
The Canadian Press, Read the full article here
‘Instability hurts workers on both sides’: UNIFOR
Unifor, the private-sector union representing thousands of workers in Canada’s manufacturing industries, said Trump’s latest “intimidation tactic” is an attempt to “force Canada into surrendering” the country’s auto industry and “the good jobs that it supports.”
“The U.S. administration fails to recognize that our highly integrated auto industry means ongoing instability hurts workers on both sides of the border and makes it increasingly difficult to build cars in North America,” Unifor’s written statement, released Monday, read.
“That’s the opposite of what autoworkers need right now. Canadian and American auto workers have suffered the same fate, with plant closures and job losses because of significant non-North American imports. We need to resolve this, together,” the statement continued.
Codi Wilson, CP24.com journalist,
Trade lawyer confident in Canada’s negotiating
Trade lawyer Jaques Shore said Canada has to be very careful at this moment in the trade war, when emotions can get in the way.
“We obviously have to recognize that we are basically masters of our own home,” he told CTV News Channel on Monday. “We have to be able to feel that in the negotiations we have with another party that we’re being respected on the key issues that are important to us.”
He added that while the breakdown in talks is unfortunate, he’s confident Canada is doing the right thing.
“What we don’t want to do is put in the emotion that makes it more difficult for us eventually,” Shore said. “And I think we have a chance to get back to the table.”
Elianna Lev, CTVNews.ca multi-platform writer
Ford: Reagan would be ‘throwing up on’ Trump over trade
Doug Ford said Monday in an interview with The Associated Press that the late President Ronald Reagan would be “throwing up on” Trump over his trade policies. He also threatened to cut off electricity and critical minerals to the United States if the Canada-U.S. trade fight worsens.
“I’ll cut them off,” Ford said of critical minerals. “You won’t get a grain of sand out of Ontario.”
Ford said “everything is on the table” after Prime Minister Mark Carney walked away from trade talks late Friday.
Ford enraged Trump by using Reagan’s anti-tariff words in a television ad last year.
The Associated Press
Tariffs are ‘going to hurt,’ Toronto mayor says
Toronto Mayor Olivia Chow says that new tariffs imposed on Canada are “going to hurt” but she says that the city’s economy has been “incredibly resilient” throughout the trade war and she doesn’t expect that to change.
“Toronto is incredibly resilient even during this climate of uncertainty. In 2026 we are on track to create 16,000 jobs, new jobs. Whereas in America in a lot of the major cities the unemployment rate is etching up, our unemployment rate I believe is etching down,” she said during an unrelated news conference on Monday.
Chow said that she will continue to encourage Torontonians to support local businesses amid the trade war. She said that the municipality will also continue to favour Canadian businesses when it comes to procurement.
“Trust me we aren’t going to go American if there is a choice,” she said.
Chris Fox, CP24.com and CTVNewsToronto.ca journalist
O’Toole cautions against using energy
Former Conservative leader Erin O’Toole is cautioning the federal government against using energy as part of Canada’s retaliatory measures against the United States.
“I would not use energy because energy is a fundamental aspect to almost civilization,” O’Toole, who sits on the prime minister’s advisory committee on Canada-U.S. economic relations, tells CTV News Channel. “I don’t think we should switch off the lights of our neighbours, even if we’re squabbling with the neighbours.”
O’Toole says Canada could look at other areas instead, including reviewing a potential purchase of American F-35 fighter jets, pursuing trade agreements with other countries and possibly revisiting the controversial digital services tax.
Asked whether he agrees with Conservative Leader Pierre Poilievre that Prime Minister Mark Carney should reconvene Parliament and share more details of the deal, O’Toole says “yes.”
“I think that’s a responsible approach for the opposition to take,” he says. “I think now that the government is coming up with a test, a series of responses, I think they should bring that to Parliament and allow the other parties and the country to see the response that’s going to come.”
Samantha Pope, senior producer, CTV’s Power Play with Vassy Kapelos
Independent businesses face ‘a lot of tough decisions’
Ryan Mallough, vice president of legislative affairs at the Canadian Federation of Independent Business says a third of their members working in exporting, report that half of their revenue could be lost because of the tariffs.
He said that for some, the situation is “existential and could mean closure.”
“For others, it means we’re talking about staffing levels and investment, hours, product lines, (and) a lot of tough business decisions in the weeks ahead as a result,” Mallough told CTV News Channel on Monday.
He added that a broad range of businesses, including importers, are being impacted by the tariffs as well.
Elianna Lev, CTVNews.ca multi-platform writer
‘Hit where it hurts’: Chretien
Former prime minister Jean Chretien says the federal government should impose an export tax on certain goods, as a way of hitting back at the United States for its new slate of tariffs on Canadian imports.
“If we want to stay upright, we have to hit where it hurts,” Chretien told Télé-Quebec in a clip posted online Sunday, before pointing to energy, oil, natural gas, and potash as examples of Canadian goods the U.S. needs.
“That’s where we should tax,” he added. “The advantage of an export tax is it’s not us who pays, it’s the Americans.”
Spencer Van Dyk, CTVNews.ca writer and producer
Greer: Fallout a ‘tempest in a teapot’
U.S. Trade Representative Jamieson Greer is downplaying the impact of the collapse of the trade talks with Canada.
“I think this is a little bit of a tempest in a teapot,” Greer told reporters at the White House on Monday morning. “The tariffs went in place over the weekend, which we’ve warned about for a long time. They only cover about 5% of Canadian trade, only .06 percent of U.S. overall consumption.”
Greer said he is preparing potential responses for Trump to Canada’s threat to retaliate dollar-for-dollar, but he declined to elaborate on the options.
‘Their word is not their bond:’ policy expert
Canada was right to impose counter-tariffs after the U.S. threatened its national sovereignty during trade talks, says a public policy expert.
The U.S. crossed the line by introducing issues that were “thrown in at the last minute,” including higher tariffs for trucks and content regulation for streaming devices, Drew Fagan, a professor at the Munk School of Global Affairs and Public Policy at the University of Toronto, told BNN Bloomberg.
“That’s extraordinarily sensitive,” he said.
With the U.S. breaking its word even after Canada made painful concessions to secure a deal, Fagan says Prime Minister Mark Carney may feel “he has no choice but to introduce counter-tariffs.”
“Their word is not their bond,” he added.
Fagan said he hopes the dispute freezes at the current level of tariffs and counter-tariffs instead of escalating into a tit-for-tat war because ultimately, both tariffs and counter-tariffs hurt Canada more than they hurt the U.S.
“Let’s hope that politically, the Trump administration is hurt by this,” says Fagan.
Anam Khan, BNNBloomberg.ca journalist
CEO calls tariff-related drop in investments a ‘bad omen’
Tariffs have brought a drop in manufacturing investments, like plants, equipment and technology by about a third, compared to a year ago, Canadian Manufacturers & Exporters president and CEO Dennis Darby told CTV Your Morning.
He calls it a “bad omen” for the future, for both Canada and the U.S.
“What we’re seeing is not only slowdowns in production and probably even more slowdowns in production, but on top of that, companies aren’t investing for the future,” he said. “So, the two things together really lower the business confidence and that’s why it’s so important that we ultimately get back to the table with the U.S., because this affects the U.S. as well.”
Elianna Lev, CTVNews.ca multi-platform writer
Reconvene Parliament: Poilievre
Just days after Prime Minister Mark Carney recalled Canadian negotiators from Washington and walked away from a trade deal with the U.S., federal Conservative Leader Pierre Poilievre is calling for Carney to reconvene Parliament over the decision.
“We must put the national interest first,” wrote Poilievre in a letter to the prime minister.
“The failure to secure a durable trade agreement, together with escalating tariffs, now threatens deeper economic pain on top of a decade of rising costs and zero economic growth in the Canadian economy,” the letter said.
Jeremie Charron, CTV National News weekend correspondent
Loonie down in late-morning trading
The loonie fell against the U.S. dollar in late-morning trading as the U.S. imposed 50 per cent tariffs on roughly $28 billion worth of Canadian goods and President Donald Trump threatened even more.
The Canadian dollar traded for US72.27 cents compared with US 72.67 cents on Friday.
The S&P/TSX composite index was up 39.91 points at 36,660.14.
In New York, the Dow Jones industrial average was up 79.48 points at 53,356.49. The S&P 500 index was down 31.84 points at 7,642.53, while the Nasdaq composite was down 191.35 points at 25,989.11.
The October crude oil contract was down US$2.16 at US$84.90 per barrel, while the December gold contract was up US$51.40 at US$4,732.00 an ounce.
The Canadian Press, Read the full article here
U.S. anthem ‘booed’ at Vancouver soccer game
Soccer fans are again voicing their disappointment over trade relations between the United States and Canada by booing the American national anthem.
Jeers echoed through Vancouver’s BC Place ahead of a Major League Soccer game between the Whitecaps and FC Dallas on Saturday as singer Emma Currie launched into the opening notes of “The Star-Spangled Banner.”
The song was similarly booed at Stade Saputo before CF Montreal hosted the L.A. Galaxy there earlier in the day.
The audible protests came hours after Prime Minister Mark Carney suspended talks with the U.S. and recalled his negotiators back to Ottawa, prompting the Americans to impose 50 per cent tariffs on billions of dollars in Canadian exports.
The Canadian Press, Read the full article here
Most affected provinces?
Roughly 87,000 Canadian jobs could be at risk because of the United States’ new 50 per cent tariffs on Canadian goods, according to an analysis conducted by University of Calgary economics Prof. Trevor Tombe, who spent hours calculating Statistics Canada’s input-output numbers.
His analysis estimates that approximately 52,000 jobs are directly at risk, while indirect effects on Canadian suppliers and service providers could put another 35,000 at risk.
The hardest-hit provinces for job losses are Ontario (36,100), Quebec (18,300) and B.C. (11,200), while the industries that are set to have the highest number of job losses are machinery, electronics, plastics and rubber.
“If we assume that these tariffs remain in place for some time, what it effectively means is that Americans will be purchasing fewer of the tariff items from Canadian producers – and that will mean less output in Canada and therefore less employment in those exporting firms,” said Tombe.
Kamil Karamali, CTV National News weekend correspondent
‘In this together’: former Conservative deputy leader
A former Conservative cabinet minister says she hopes Prime Minister Mark Carney will brief opposition members on the proposed trade deal and next steps.
“Having other folks leak and talk to reporters, it’s not helpful,” Lisa Raitt, who is also a member of the advisory committee on Canada-U.S. economic relations, told CTV News Channel on Sunday.
She added that she hopes Carney will set up a briefing in response to the Conservative leader’s request.
“It’s openness that’s needed,” she said.
“They want to know what’s in the deal that isn’t a deal and they want to know what programs are going to go forward for Canadians who are unfairly impacted by the 50 per cent tariff.”
Devika Desai, CTVNews.ca journalist
Release U.S. trade offer details: Conservatives
Federal conservatives are calling on the government to release the full details of the trade offer from the United States that Canada rejected this week.
In a letter to Trade Minister Dominic LeBlanc, Canada-U.S. relations critic Shuvaloy Majumdar said while his party supports the government’s decision to reject the deal, Parliament is in the dark on what was on the table.
“If there was a draft text of any agreement that both governments have seen, please release it. The U.S. administration has seen it. Your government has seen it. Canadians deserve to see it,” Majumdar wrote.
A spokesperson for the Bloc Québécois wouldn’t say whether they support the calls for the government to detail what the Americans were offering.
But the party reiterated calls for a meeting between the “recognized” party leaders in the House of Commons to get a briefing on the situation.
Green Party Leader Elizabeth May also said the party leaders should be briefed, but stopped short of demanding the trade details be made public.
“I think we should have at least a Zoom call or Teams meeting as we used to do under the former prime minister to make sure that we are all updated,” May said.
The Canadian Press
Call to release trade details, unlikely: political analyst
Lori Turnbull, political analyst and professor at Dalhousie University, says while she is not surprised Conservative Leader Pierre Poilievre’s is calling on Carney to release details on the deal, she does not think it’s going to happen.
“I don’t think (Carney’s) going to say anything that he doesn’t want to say about this,” she told CTV News Channel on Monday.
“I think if he’s been guarded about what the exact terms were, it is for a reason. If he wanted to tell us that, he would have told us Saturday morning when he made that speech,” Turnbull said.
She admits there’s a “spectacle aspect to this, a drama, a political piece to it that ultimately may not move the accountability marker all that much.”
Elianna Lev, CTVNews.ca multi-platform writer
‘Job loss is inevitable’: B.C. Chamber of Commerce reacts to Trump tariffs
The head of the B.C. Chamber of Commerce said job losses are “inevitable” and the future of small and medium businesses is in peril after U.S. President Donald Trump imposed punishing new tariffs on Canadian goods.
“I think this is par for the course. We’re back on the merry-go-round. We did the math and counted 15 changes over the last 21 months. So, I think we just continue to live in this world of uncertainty,” Jen Riley, the chamber of commerce’s president and CEO, told CTV News Sunday.
In Riley’s estimation, small and medium sized businesses in British Columbia are set to bear a disproportionate burden.
“The exports we have to the United States are now going to have a 50 per cent tariff. And a lot of those that are going to get hit are small and medium businesses—and that level of tariffs is generally not something they can absorb,” Riley said.
“So, we are very worried here in British Columbia that small and medium businesses are not going to be able to make it out of this.”
Lisa Steacy, CTVNewsVancouver.ca journalist
Eastern Canadian premiers renew pleas to buy local
Premiers in Eastern Canada are once again calling on residents to buy local as Canada squares off against the United States in an escalating trade war.
“Every dollar spent on an Island or Canadian product supports the worker who made it, the farmer who grew it, the fisher who caught it, the producer who processed it and the business that put it on the shelf,” said Rob Lantz, premier of P.E.I., in a news release Sunday.
The U.S. tariffs have hit businesses and workers in New Brunswick, Premier Susan Holt said in a statement on Saturday. “Now, more than ever, we need to double down on buying local and supporting New Brunswick businesses and workers.”
The tariffs will affect about $7.7 billion of exports from Quebec, said Christine Frechette, the province’s premier. “To buy Quebec products is not an economic action, it is a nationalistic action. It’s an action of solidarity.”
The Canadian Press
Minnesota school faces $7K spike in price for mascot costume
Parents at a Minnesota school say they are rushing to get a Trojan-themed mascot across the Canada-U.S. border by the end of the week to avoid paying a higher price due to the tariffs.
Sarah Kallal said she and other community members had been inspired to procure a “professional-grade costume” for the school’s baseball team, in their hometown of Trojan
The community had raised $14,000 for the costume.
On Monday, Kallal said she got a call from the costume company that they had to pay an extra $7,000.
“Honestly, I kind of thought the dream died,” Kallal said. “I’m not going to absorb that cost and I’m certainly not going to go back to our community to say, ‘Oh, by the way, can I get seven more thousand dollars?’”
She was floored to learn that President Trump’s proposal to place a 50 per cent tariff on Canadian imports was to blame. She never expected that kind of economic policy to hit home so directly in a smaller community like New Prague.“
It brings awareness to how it’s not going to just affect corporations and government,” Kallal said.
WCCO
Trade war ‘devastating’ for Canada: Trump admin
The Trump administration on Sunday warned that Canada would be “foolish” to think it could win a trade war with the United States.
U.S. Transportation Secretary Sean Duffy told “Fox News Sunday” talk show that Prime Minister Carney will return to negotiations “very very quickly, because it’s going to be devastating for his country.”
“We’re great trading partners, right? But Canada gets the benefit of trading with the U.S. way more than the U.S. gets the benefit of trading with Canada,” he said on the show.
“To think that they’re going to go to war with Donald Trump and actually win that war with the U.S., I think it’s foolish on their part.”
AFP
U.S. customers ‘paying the full brunt’
President and Chief Executive Officer of the Aluminium Association of Canada Jean Simard expressed his concern for the future of the aluminium industry following the collapse of the trade talks between Canada and the United States.
To put things into perspective, he said Canada produces 3.3 million tonnes of aluminium per year of which 90 per cent is exported.
He added, “90 per cent of the exported product goes to the U.S.”
Simard said in the U.S., “customers are paying the full brunt of the tariffs,” paying $1500 to $2000 more per ton than what Europe pays for the same amount.
However, he noted not reaching a deal with the U.S. was not “a bad thing” as the talks had increasingly shifted toward a “U.S.-based advantage to the detriment of Canada.”
Archie Niari, CTVNews.ca journalist
U.S. after ‘fortress North America’
International trade lawyer at Mccarthy Tétrault Ljiljana Stanić says the collapse of the tariff talks with the U.S. was “unexpected”.
“I think most people expected another extension was forthcoming,” she told CTV News Channel on Sunday.
On the issue of U.S. asking Canada to match Washington’s tariffs on other countries Stanić said, “it seemed like the United States was trying to build fortress North America.”
The trade lawyer said she believes “that was a lot to ask from Canada without having free trade with the United States.”
Stanić also noted that “trade disputes are easy to start but difficult to contain,” and added that the situation is now at a tipping point where trade tensions between the two sides can quickly escalate.
Archie Niari, CTVNews.ca journalist
Trump: Canada wants benefits of statehood
In his Truth Social Post, Trump also claimed that Canada has charged U.S. farmers “massive amounts of tariffs” for many years.
Canada only imposes high tariffs on U.S. dairy exports if they exceed quota amounts.
“In reality, however, the countries exporting products to Canada will not pay the high tariff because they will simply not export more than was negotiated in the trade agreement under which they have access,” states the Dairy Farmers of Canada, a national lobby representing Canadian dairy producers.
Trump’s comments come after Prime Minister Carney delivered his own address on the trade dispute in which he said Canada is at economic “war” with the U.S.
In Carney’s address, he said last-minute changes by the U.S. to the deal lead to a breakdown negotiations.
Devika Desai, CTVNews.ca journalist
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