Canadian exploration company Power Nickel is expected to complete a plan of arrangement today regarding the spin-out of its Golden Ivan Property and certain Chilean assets and liabilities to its wholly owned subsidiary, Chilean Metals (Spinco).
For each common share held, Power Nickel shareholders will receive one new common share of the company and 0.05 of a Spinco common share.
The company’s outstanding options will also be adjusted, providing option-holders new options to purchase shares in both Power Nickel and Spinco.
This spin-out arrangement allows shareholders to have stakes in two distinct entities.
Power Nickel will focus on developing the Nisk project, while Spinco will advance the Golden Ivan property and the Chilean projects.
Spinco will also take over interests in the Zulema, Tierra de Oro, Palo Negro, Hornitos and Tabaco projects in Chile, with Power Nickel retaining its royalty interest in the Chilean Copaquire project.
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Additionally, the NISK property features an extensive land area spanning 20km in strike length and includes multiple high-grade intercepts.
The 2025 winter drill campaign on the NISK project with hole PN-24-96 began in January 2025. This hole will test the depth extension along the trend of the Lion zone, building on successful 2024 drilling that uncovered high-grade copper and precious metals.
The Golden Ivan property encompasses 13 mineral claims over 797 hectares in Terrace, British Columbia.
The special resolution for this arrangement was approved by shareholders at their Annual General and Special Meeting in December last year, following a final order from the Supreme Court of British Columbia on 27 November 2024.
Endeavor Trust Corporation, acting as the depositary, has facilitated the arrangement.
The new Power Nickel shares will continue to be traded on the TSX Venture Exchange in Canada, the OTC Market in the US and the Frankfurt Stock Exchange in Germany.
Spinco shares will not be listed on any stock exchange post-arrangement. Spinco is a reporting issuer in British Columbia and Alberta, adhering to continuous disclosure obligations under Canadian securities laws.
From increased volatility to uncertainty in the markets, here’s what investors can do to protect their portfolios and prosper
Investors can find unpredictable turns in stock markets hard to handle but their resolve will especially be tested this year due to U.S. President Donald Trump’s actions. Economists expect market volatility surges driven by a combination of policy changes, trade disruptions and economic and currency shocks from his administration.
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But market disruptions and downturns are always a possibility for equities investors and experts recommend avoiding panic and taking a longer-term view that sees markets rising over longer time frames.
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One of the main likely drivers of market volatility is the tariffs Trump has been threatening Canada and Mexico with since November, as well as other global markets. While any reprieves through negotiation may temper effects, the determination of the U.S. government to enact tariffs may lead to bumpy markets over the next four years, making it difficult for investors to predict returns and manage risk, market watchers expect.
If tariffs cause a sustained trade war, like they did in 1930 with the Smoot Hawley Act — which raised tariffs on 20,000 imported goods in an effort to help American farmers — it could affect stock markets around the world.
The protectionist attitude of the Trump administration poses risks to key sectors of the Canadian economy and the effect that such tariffs would have specifically on Canadian oil stocks, for instance, is already being seen. Add to that the fact that several Canadian natural gas and pipeline companies are trailing U.S. natural gas companies, and the obvious choice for oil and gas investors who want to eliminate tariff risks is simply to buy U.S. energy stocks and dial back on Canadian energy stocks.
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Other sectors, too, are not immune. Potential tariffs could affect the auto sector, economists have warned, stalling recent electric vehicle investments. And, according to the Conference Board of Canada paper, Trump, Tariffs and Trade, the U.S. is also aggressively attracting investment in the areas of technology, and research and development, potentially drawing resources away from Canada.
A trade war would be bad news for investors, market observers say, at least in the short term. According to a 2022 report by Canadian research firm Finder, about one in three Canadians had invested in stock market shares in 2021.
It is likely a significant portion of Canadian stock investors own bank stocks, either directly or indirectly through mutual funds or exchange-traded funds. Analysts at National Bank of Canada warn that a severe trade conflict could lead to a growth in bank loan defaults by businesses, as well as a 30 per cent drop in earnings per share for Canadian banks, compared with current estimates.
This is significant in itself but the broader economic effects of a trade war would affect the Canadian economy in general, and potentially cause unemployment to rise to 10 per cent from the current 6.7 per cent, affecting consumers buying from Canadian businesses, or defaulting on loans.
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And for investors in U.S. stock markets, tariffs could force companies to raise prices in response, causing inflation to accelerate and consumers to pull back on spending. Goldman Sachs Group Inc. strategists said there’s a risk of a five per cent slump in U.S. stocks because of the hit to corporate earnings, while RBC Capital Markets estimated the range at five per cent to 10 per cent.
So what are investors to do? Investment experts suggest not moving reactively and instead sticking to a balanced portfolio. Behavioural finance firm Oxford Risk Research and Analysis Ltd.’s analysis shows knee-jerk emotional reactions to market swings cost investors an average of three per cent each year in returns. The company predicts losses could soar this year as a perfect storm of volatility drives investors to make mistakes and invest in assets they may not even understand.
Steve Wendel, head of behavioural science for Morningstar Inc., notes that, “even if you aren’t likely to panic during a downtown yourself, the potential for panic by others affects your investment environment because of … the risk of … emotional selling.”
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Still, opportunities abound for investors willing to take on some risk and go against the market. Any increase in the sell-off among Canadian oil producers would create an excellent buying opportunity, since investment experts believe any tariffs on oil exports may be temporary.
Alternatively, the head of Norway’s US$1.8 trillion sovereign fund suggests a contrarian course, namely to consider selling technology stocks and boosting holdings in China. “The best thing to do is always to do the opposite of everybody else,” Nicolai Tangen said in an interview during the World Economic Forum in Davos in January. “What will that be today? Well, if you were to do the opposite of everybody else, it would be to sell the U.S. tech stocks, buy China, sell private credit, just buy stuff that is out of fashion.”
The good news is that despite the potential negative impacts, there may also be positives. In a recent paper, Angelo Kourkafas and Brock Weimer, chartered financial analysts with Edward Jones, note that tariff effects on the stock market could be less pronounced compared with their impact on the broader economy.
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“Approximately one-third of the revenue generated by companies in the S&P/TSX composite (index) comes from the United States, with the technology, industrials and utilities sectors having the highest share of U.S. revenue. However, some of those sectors that export large amounts of goods to the U.S. have small representation in the Canadian equity market. For example, automotive components are the second-largest category of exports after oil, gas and minerals, accounting for 10 per cent of Canada’s exports to the U.S. Yet, the industry only represents 0.5 per cent of the TSX’s total weight.”
They caution investors not to abandon long-term strategies in hopes of avoiding short-term dips, as historically, “fear and panic have not paid off.”
Both analysts conclude that, for investors, maintaining a well-diversified and balanced portfolio with different asset classes and geographic exposures may help spread out the risk of a trade war. They continue to recommend investors reduce slightly their exposure to Canadian large-cap stocks, offset with adding more to U.S. large-cap and U.S. small- and mid-cap stocks, as U.S. markets are believed to be better positioned to deal with tariffs compared with Canadian equities.
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Investors always need to keep in mind the long-term data of simply doing nothing and staying invested in equity markets. The average annual return of the S&P 500 over the past 40 years (1982-2022) is 11.6 per cent (including dividends). TSX returns have come in at a decent eight per cent to 10 per cent annually.
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And finally, remember that you are always buying low assuming your time horizon is long enough. Your entry point into the market is irrelevant on a 40-year time horizon. As author and investor Nick Murray said, “I don’t worry about which way the next 20 per cent move in the market will be because I know exactly which way the next 100 per cent move will be. And I can’t run the risk of missing that move.”
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Author Tim Falconer hopes his new book will make more Canadians aware of Viola MacMillan, a mining industry pioneer who became embroiled in scandal near the end of her career.
“She was really a remarkable woman,” said Falconer, whose book Windfall: Viola MacMillan and Her Notorious Mining Scandal, hits store shelves on Feb. 18.
MacMillan was born on a farm in Muskoka and became interested in mineral exploration after one of her brothers started working at a mine in the northern Ontario town of Cobalt.
She started prospecting with her husband, George MacMillan, in the 1920s, at a time when it was nearly unheard of for a woman to work in mining.
“By the late 1940s, she had her first producing mine,” Falconer said. “And then in the 1950s, she was really successful and had a series of mines.”
Falconer says MacMillan had a knack for the business side of mining, and made millions of dollars through the mines that she and her husband owned.
In 1944, she was elected president of the Ontario Prospectors and Developers Association, and held that position for 20 years, until she became embroiled in a mining investment scandal.
The association is now known as the Prospectors and Developers Association of Canada (PDAC) and hosts one the world’s largest annual mining conferences.
In the early 1960s, the Texas Gulf Sulphur Company bought a number of mining stakes in Timmins, Ont., that went on to become the Kidd Creek Mine for copper, zinc and silver. The mine is still operating today.
Falconer says they missed four stakes through an error, and the MacMillans were able to purchase those instead.
They created a company called Windfall, which traded on the Toronto Stock Exchange in 1964.
“All of a sudden, the rumours started that Windfall had something,” Falconer said.
MacMillan and her husband did nothing to dispel those rumours, and the Windfall stock surged from around $0.50 to $5.70.
It later turned out their staked land didn’t have anything of value, and the stock crashed. But before that crash, MacMillan made $1.5 million selling some of her shares.
Falconer says that led to some reforms at the Toronto Stock Exchange and Ontario Securities Commission to ensure more transparency from mining companies.
The incident also led to a royal commission.
The MacMillans were eventually acquitted of fraud, but she was found guilty of “wash trading” in another incident.
Wash trading is the practice of essentially trading a stock with yourself, or companies you own, to make it look like authentic transactions are happening, and there’s genuine interest in the stock.
Viola MacMillan was sentenced to nine months in prison, but ended up serving nine weeks.
In 1978, she received a full pardon for that conviction
She was appointed to the Order of Canada in 1992, and died the next year at the age of 90.
Falconer says he hopes his book can bring more attention to her story.
“Why don’t more people know about her?” he said. “She was the most successful businesswoman in Canada for many years.”
With this edition of Market Factors, we discuss why guarding against investment mistakes with domestic stocks should be a top priority and why the U.S. markets may not be all that great either. The diversion features brilliant nature photography and we look ahead to important data releases.
A sticker supporting President Donald Trump is displayed on the floor at the New York Stock Exchange in New York, Monday, Feb. 3, 2025.Seth Wenig/The Associated Press
Things could get really bad for the domestic economy if tariffs remain in place, with all the unemployment-related pain that implies. Or, as in the case of Colombia, the tariffs could be removed inside of a week if adequate forms of obeisance are performed.
The U.S. president could also increase the new duties if he gets annoyed about retaliatory tariffs and Doug Ford’s public defiance. Mr. Trump could also be harbouring anti-Canada vindictiveness about the troubled Trump Hotel deal in Toronto in 2016 (as a real estate banker friend suggested to me). Mr. Trump stated that he wants U.S. banks to be able to operate freely in Canada but we know that’s not going to happen, so maybe this whole process takes longer than expected. Seemingly anything is possible.
The sheer volume of potentialities suggests investors shouldn’t bank on any one of them happening. This, I think, explains the surprisingly muted market reaction to the tariff news on Monday.
The S&P/TSX Composite opened down roughly 2 per cent and the Canadian dollar was lower by seven-tenths of a U.S. penny. I expected worse until I thought about it.
The best thing investors can do here, really the only thing, is nothing. The worst case investment scenario in the short term is to sell everything Monday afternoon, have the tariffs rescinded Thursday, and miss the recovery rally.
Selling everything and having the tariffs remain has a better outcome – it preserves capital when the inevitable domestic growth slowdown hits. The odds are, however, that these investors will miss the bottom of the market and miss a good portion of the recovery whenever it happens.
Staying long, even if it’s an unexciting idea that gets financially painful, is the option with the highest probability of eventual success. There is plenty of time to search for unjustly oversold, high quality domestic stocks but in the next few days the odds of making a mistake are too high.
Winnipeg Jets defenseman Logan Stanley (64) in action during the first period of an NHL hockey game against the Washington Capitals, Saturday, Feb. 1, 2025, in Washington.Nick Wass/The Associated Press
I’m not bearish but I am becoming more open to bearish arguments as the similarities between markets now and in the late 1990s pile up. The latest salvo comes from RB Advisors’ most recent report, Narrow markets are the exception, not the rule.
The report notes that 2023 and 2024 were the narrowest U.S. markets since 1998/99. Only 30 per cent of S&P 500 constituents beat the benchmark ln 2023 and slightly fewer index stocks outperformed in 2024. This is similar to 1998 and 1999 when roughly 25 per cent and 33 per cent, respectively, beat the S&P 500. The long-term median is 48 per cent of companies outperforming.
Team sports offer a good metaphor for why narrow markets are bad. A team with a number of good players and a deep bench is healthier because if one gets injured, the others can pick up the slack. Another decent payer can come off the bench without a big drop in competitiveness. A team dependent on one player, on the other hand, will slide well down the standings if that player gets hurt or underperforms.
If Nvidia and Meta Platforms are the Lionel Messi and Connor McDavid of today’s market, investors don’t seem overly concerned about the added risk. The monthly Conference Board Consumer Confidence Survey asks Americans whether they believe markets will be higher in 12 months. The RB Advisors report informs that “the past two months’ readings show a level of confidence in the stock market never seen in the survey’s history.”
RB Advisors also highlights recent Goldman Sachs research showing that volatility increases significantly in years after extremely narrow markets. The years 2000-2005 are the poster children for this. Investors kept waiting for technology to retake market leadership only to have energy and consumer staples outperform the S&P 500 Info Tech index by 141 per cent and 120 per cent, respectively.
Diversification away from the popular sectors is the recipe for success according to RB Advisors, protecting against the index’s high weighting in popular sectors while also providing portfolio exposure to industries that assume market leadership.
Pictures are worth 1000 words so I don’t have to type much here. The winners of the Canadian Geographic Photos of the Year took some breathtaking shots, as CBC shows here.
Looking for our updates on market movers, analyst actions, stock technicals, insider trades and other daily, weekly and monthly insight? Click here to visit our Inside the Market page.
Darcy Keith on how money markets have shifted their BoC rate cut bets as tariffs become reality, and how economists are reacting to all of the latest mayhem.
Tim Shufelt answers the question, “With Trump’s tariffs, is it unpatriotic to buy U.S. stocks?”
Reuters reports on how investors are betting Musk and Tesla will make a fortune under Trump even as threats mount
The net change in employment for January is the big economic release domestically. That’s out Friday and 22,900 new jobs are expected. The unemployment rate is expected to come in at 6.8 per cent. Before that we have the S&P/Global Canada Composite PMI for January on Wednesday.
A few important earnings reports are also on the calendar. Suncor Energy Inc. is out Wednesday (C$1.166 per share expected). Thursday sees BCE Inc. ($0.718 and maybe guidance about the dividend) and Open Text Corp ($0.932).
The Americans’ ISM Manufacturing for January on Monday came in at 50.9, ahead of the forecast 50.0. Factory orders for December will be announced Tuesday with 0.5 per cent month over month growth expected. ISM Services for January is out Wednesday and an expansionary 54.5 reading is forecast. Unit labour costs for Q4 will be released Thursday and 3.4 per cent annualized is expected. Non-farm payrolls for January is reported Friday – 150,000 new jobs are expected.
U.S. pharma giants Merck & Co. Inc. (US$1.641 per share expected) and Pfizer Inc. (US$0.467) report Tuesday along with Alphabet Inc. (US$2.13). Walt Disney Co releases results Wednesday (US$1.424) and so does QUALCOMM Inc. (US$2.97). Amazon.com Inc. (US$1.475) reports Thursday.
See our full economic and earnings calendar here (You can bookmark the page – it gets updated weekly)
The U.S. stock market opened Monday with sharp declines after President Donald Trump launched tariffs against Canada, China and Mexico over the weekend.
The Nasdaq tumbled 1.86% or 401 points, leading the declines among the three major U.S. indexes. The Dow Jones Industrial Average tumbled about 1.1%, or around 489 points. The S&P 500 fell roughly 1.8% or 89.6 points.
Trump signed an executive order Saturday putting 25% tariffs on imports from Canada and Mexico, while Chinese products face an additional 10% tariff. Canadian energy imports will only be tariffed at 10%.
The U.S. duties on all three countries will be fully in force starting at 12:01 a.m. EST on Tuesday.
Officials in Canada and Mexico announced they would retaliate by implementing their own import duties on U.S. goods.
The trade war affected stock markets around the world.
The United Kingdom’s benchmark FTSE 100 was down 1.1% by 6:40 a.m. EST, set for its worst day since Oct. 8, according to Reuters.
Germany’s DAX 40 index dropped around 2% on Monday from Friday’s 21,802 record high, according to IG.
The Toronto stock exchange was down about 2% or 500 points in early trading Monday.
Taiwan’s Taiex market exchange fell 4.4% at the open. Japan’s Topix index was down as much as 2.3%, and Korea’s Kospi fell as much as 2.4%.
Trump posted on Truth Social Monday morning that he had spoken with Canadian Prime Minister Justin Trudeau and they would talk again at 3 p.m. EST. He also raised new issues, such as Canada’s limits on the U.S. banks in the country.
“Canada doesn’t even allow U.S. Banks to open or do business there. What’s that all about? Many such things, but it’s also a DRUG WAR, and hundreds of thousands of people have died in the U.S. from drugs pouring through the Borders of Mexico and Canada,” Trump said.
A customer holds a bottle as a sign that reads ”Buy Canadian Instead” is displayed after the top five U.S. liquor brands were removed from sale at B.C. Liquor Stores, as part of a response to U.S. President Donald Trump’s 25% tariffs on Canadian goods.Chris Helgren/Reuters
– Globe Staff
North American indexes are paring their losses after Mexico’s President said the United States will delay its tariffs on Mexican imports by a month, easing some of the worries about a potential trade war.
The S&P 500 was down 0.7% in Monday morning trading after being down as much as 1.9% earlier. The Dow Jones Industrial Average trimmed its loss from 665 points to 162, while the Nasdaq composite fell 1%.
In Toronto, the S&P/TSX composite index was down 181.50 points, or 0.71%, at 25,351.60 at 10:57 a.m. ET after falling as low as 24,742.92 earlier in the trading session.
Some of the sharpest losses hit Big Tech and stocks that would be hurt most by higher interest rates and the worse inflation that could result from tariffs.
Workers weld steel at Steelcon, a structural steel design and fabrication company, before a campaign stop by Ontario Premier Doug Ford in St. Catharines, Ontario on Jan. 31.Carlos Osorio/Reuters
U.S. President Donald Trump’s imposition of 25-per-cent tariffs is a “doomsday scenario” for Canadian steel that will lead to job losses, the industry’s association says.
The Canadian steel sector is almost exclusively dependent on the U.S. for its exports and Canada has few options to sell the metal to other markets due to a global glut caused mainly by Chinese overproduction.
The tariffs will result in a vicious circle of less demand from U.S. customers and corresponding fewer imports from Canadian steelmakers. Many of the inputs Canadian steelmakers use, such as scrap iron ore, and coke, come from the U.S.
“Because we’re selling less, we’re going to probably lay off a lot of employees because a blast furnace cannot be switched on and off as we wish,” said François Desmarais, vice-president, trade and industry affairs with the Canadian Steel Producers Association.
Canada’s steel industry was hit with 25-per-cent tariffs in 2018 during Mr. Trump’s first term, but this time the tariffs are on all Canadian goods.
“This is unprecedented. We have no perspective or numbers on the magnitude of this,” Mr. Desmarais said.
Read more here: Canada’s steel sector is facing a dire impact from the imposition of 25-per-cent tariffs
Royal Bank of Canada chief executive officer Dave McKay is calling on political leaders to implement financial supports to help businesses and consumers weather the hit from tariffs.Frank Gunn/The Canadian Press
Royal Bank of Canada chief executive officer Dave McKay is calling on political leaders to reduce barriers to economic growth within Canada’s borders and to implement financial supports to help businesses and consumers weather the hit from tariffs.
Mr. McKay said in an e-mail to all RBC employees Sunday evening that Canada should remove internal trade barriers, accelerate energy and infrastructure projects, invest in technology innovation and improve tax competitiveness, according to the memo seen by The Globe.
“There are no winners in a prolonged trade war between allies, especially two nations that each have their own deep-rooted identity, unique culture and strong sense of independence,” Mr. McKay said.
“The tariffs could severely impact jobs and hurt affordability for Canadian and American workers and families, and many small and mid-sized businesses will be put at risk as the cost of doing business goes up.”
Some of Canada’s biggest bank CEOs have also jumped into the discussion on how the country and the financial sector could mitigate the impacts of tariffs:
Read more here: RBC calls for Ottawa’s support to develop programs, resources for consumers navigating trade war
– Jeff Gray and Laura Stone
Ontario Premier Doug Ford says he hopes Canada can also receive a pause from U.S. tariffs after news that levies against Mexico have been halted for one month.
“We’re their number one customer. We’re their number one export destination,” Mr. Ford said at an unrelated announcement on Monday.
Asked if he thinks Canada can secure a similar agreement to Mexico, he said Canadian officials are doing “everything we can.”
“We’re working governor to premier, premier to senator and congress people, and all premiers are doing it. They’re reaching out to their counterparts. And we’re doing our job. And I know the Prime Minister is doing his job by contacting President Trump today and later this afternoon. That decision President Trump has made is so, so misguided. He underestimates the power and the will and the fortitude of Canadians,” Mr. Ford said.
“We’re their closest trading partner and ally.”
For Canada and others seeking to challenge the legality of Donald Trump’s tariffs, the best hope may lie in U.S. courts.
The International Emergency Economic Powers Act had never before been used to impose tariffs. That opens one potential legal avenue, on what are known as “nondelegation” grounds. In other words, can Mr. Trump exercise a power under IEEPA that Congress has not specifically delegated to the presidency?
At the same time, considerable legal obstacles stand in the way of anyone seeking to defeat the tariffs in court. One is whether tariffs are considered an economic or foreign affairs issue. If the court sees the tariffs as the latter, Mr. Trump is likely to win a more favourable reception.
Another question is whether Mr. Trump is exercising a new power. In 1971, Richard Nixon imposed blanket 10-per-cent tariffs on imported goods under the Trading with the Enemy Act, a predecessor to IEEPA – although it’s not clear that precedent will matter, since IEEPA employs different language.
Read more here: The best hope for Canada in fighting a trade war with Trump may lie in U.S. courts
China is vowing retaliation after U.S.President Donald Trump slapped an additional 10-per-cent tariff on all goods from the country.
In a statement over the weekend, China’s Ministry of Foreign Affairs said it “firmly deplores and opposes this move and will take necessary countermeasures to defend its legitimate rights and interests.”
Beijing is also pushing back against U.S. claims that it is not doing enough to tackle fentanyl trafficking – pointing to years of co-operation on this issue – and is threatening to file suit against Washington at the World Trade Organization.
Read more here: China to retaliate after Trump fires first measures in trade war
Mexico’s President Claudia Sheinbaum said the US has agreed to pause the start of tariffs on Mexican goods for one month, after talks with her counterpart Donald Trump.YURI CORTEZ/AFP/Getty Images
U.S. President Donald Trump says he has agreed to delay 25-per-cent tariffs on Mexico for one month as the countries negotiate a long term deal on border security.
In a social media post, the U.S. President said Mexican President Claudia Sheinbaum agreed to deploy 10,000 Mexican soldiers to the border “to stop the flow of fentanyl, and illegal migrants into our country.”
“We further agreed to immediately pause the anticipated tariffs for a one month period during which we will have negotiations headed by Secretary of State Marco Rubio, Secretary of Treasury Scott Bessent, and Secretary of Commerce Howard Lutnick, and high-level Representatives of Mexico.”
Mr. Trump added: “I look forward to participating in those negotiations, with President Sheinbaum, as we attempt to achieve a ‘deal’ between our two Countries.”
Posting on X, Ms. Sheinbaum said she had a “good conversation with President Trump with great respect for our relationship and sovereignty” and confirmed Mexico will immediately reinforce the northern border The United States has also committed to working to prevent the trafficking of high-powered weapons to Mexico, she said.
The tariffs against Canada are set to take effect on Tuesday.
Conrad Black, who President Donald Trump pardoned in his first term, has offered some words of advice to Prime Minister Justin Trudeau and his cabinet as Canada faces a trade war with the U.S.
“If someone in the beleaguered Liberal cabinet, with the authority to do so, called up the president and proposed two simple things, I suspect the trade war would end overnight,” he said in a post on X.
“Firstly, a modest earmark for stronger and collaborative border security measures (which would both satisfy Trump and redound to our benefit – see the Toronto police’s seizure of 900kg of cocaine two weeks ago, smuggled over the U.S. border, and note the vast majority of illegal firearms on Canadian streets come over the U.S. border).
“Secondly, make good on our long-overdue commitment as a member of NATO to contribute 3% of GDP to defense. Something we should be doing for decades.
“That’s it. My prediction is those two mutually beneficial ‘concessions’ with a bit of finesse would be enough to resolve the issue overnight.
“In my personal experience with Donald Trump, he is a tough negotiator, but I have never known him to reject a fair deal.”
European Council President Antonio Costa, left, greets Ireland’s Prime Minister Micheál Martin as he arrives for an EU summit at the Egmont Palace in Brussels.Nicolas Tucat/The Associated Press
EU leaders have started their summit in Brussels and not surprisingly tariffs have become the main topic of discussion after U.S. President Donald Trump announced plans to slap hefty tariffs on U.S. imports from Europe.
Ireland’s Taoiseach, or Prime Minister, Micheál Martin, has urged caution in any response to the tariffs.
“First of all, we have to see what happens and assess it and measure it, calibrate the impacts, and then develop our response,” he told reporters on his way into the summit.
“But I wouldn’t do anything prematurely right now, until we see what exactly is being proposed, if something is being proposed. What is essential is that the European Union acts as one and will act as one. And I think in unity, there is strength.”
Ireland is among the EU member states that relies heavily on trade with the U.S. In 2023, around 28 per cent of all Irish exports were sold into the U.S.
– Globe Staff
Canada’s main stock index opened lower on Monday as investors dumped risky assets after Ottawa retaliated against U.S. President Donald Trump’s tariffs on imports.
At 9:33 a.m. ET, the Toronto Stock Exchange’s S&P/TSX composite index was down 2.4% at 24,920.36.
The Canadian dollar fell to its lowest level since 2003, trading at US$0.68 compared with US$0.69 on Friday.
Canadian government 10-year bond yields fell 14.8 basis points to 2.917%.
Britain and the European Union are bracing for U.S. President Donald Trump to impose sweeping tariffs on U.S. imports from Europe.
Tariffs “will definitely happen with the European Union,” Mr. Trump said over the weekend. “They don’t take our cars; they don’t take our farm products. They take almost nothing, and we take everything from the millions of cars, tremendous amounts of food and farm products.”
He added that the U.S. had a US$350-billion trade deficit with the EU and that the tariffs would be introduced “pretty soon.” Officials in Britain have also been keen to point out in recent days that the country doesn’t have a trade deficit with the U.S.
Stock markets in Britain and Europe fell sharply Monday morning in response to the rising trade tensions.
Donald Trump is making fresh demands for Ottawa to allow American banks greater latitude to operate north of the border, following the first of two phone calls scheduled with Prime Minister Justin Trudeau on Monday.
“Canada doesn’t even allow U.S. Banks to open or do business there. What’s that all about?” Mr. Trump wrote on Truth Social.
He said he had just spoken with Mr. Trudeau and expects to speak with the Prime Minister again at 3 p.m. Monday.
“Canada has been very abusive of the United States for many years,” he told reporters after arriving back in Washington, D.C. from Florida.
Mr. Trump also accused Canada of being “very tough on oil, on energy. They don’t allow our farm products in, essentially. They don’t allow a lot of things in.
“And we allow everything to come in. It’s been a one-way street.”
Foreign banks, including American institutions, have operated in Canada for many years. The Office of the Superintendent of Financial Institutions currently regulates at least 15 foreign bank subsidiaries in Canada, including Citibank Canada, J.P. Morgan Bank Canada, and UBS Bank Canada.
Read more here: Trump wants U.S. banks in Canada, he says after speaking with Trudeau
Ontario Premier Doug Ford says the province will rip up its $100-million contract with Elon Musk’s SpaceX to deliver high-speed internet to remote areas as part of the response to U.S. tariffs.Peter Power/The Canadian Press
– Jeff Gray and Laura Stone
Ontario Premier Doug Ford says he is cancelling a $100-million provincial contract for rural satellite Internet with Starlink, a company controlled by billionaire Elon Musk, a key supporter of U.S. President Donald Trump.
“Ontario won’t do business with people hell-bent on destroying our economy,” Mr. Ford said in a statement issued Monday by his Progressive Conservative Party re-election campaign.
Mr. Ford also said he was banning all U.S. companies from bidding on Ontario government contracts, until the 25-per-cent U.S. tariffs on Canadian goods being imposed on Tuesday are removed.
“U.S.-based businesses will now lose out on tens of billions of dollars in new revenues,” he said. “They only have President Trump to blame.”
He said the ban means U.S. firms will miss out on any piece of the $30-billion in goods and services the Ontario government and its agencies procure from the private sector each year, as well as any future contracts awarded as part of the province’s planned $200-billion in infrastructure spending over the next decade.
Read more: Ontario to cancel $100-million contract with Elon Musk’s Starlink
Global markets sank on fears that U.S. President Donald Trump’s tariffs on Canada, Mexico and China mark an opening salvo in a global trade war that would curb economic growth internationally.
Wall Street futures tumbled as investors considered what a full-blown trade war might mean to the U.S. economy.
‘Brace for impact’: Economists and market strategists react to trade war as loonie and stocks slide
TSX futures followed sentiment lower. As The Globe reports, the worst shock to global trade in nearly a century is expected to plunge Canada’s economy into recession this year. Companies are scrambling to overhaul their business models, while consumers are being warned to expect higher prices on some food items starting this week.
Meanwhile, the Canadian dollar weakened against its U.S. counterpart.
The day range on the loonie was 67.60 US cents to 68.77 US cents in early trading. The Canadian dollar was down about 2.27 per cent against the greenback over the past month.
The U.S. dollar index, which weighs the greenback against a group of currencies, climbed 0.77 per cent to 109.21.
Canada will hit back at US tariffs with 25 percent levies of its own on select American goods, Prime Minister Justin Trudeau said on February 1.ANDREJ IVANOV/AFP/Getty Images
– Steven Chase and Nathan VanderKlippe
Canada unveiled the details of its first retaliatory barrage in an escalating trade war with the United States as U.S. President Donald Trump told Canadians they could avoid his punitive tariffs if they agree to be annexed as the 51st state.
Canadian officials said Sunday they are applying 25-per-cent retaliatory tariffs to 1,200 categories of American imports from chicken and orange juice to wine, refrigerators and motorcycles starting Tuesday.
The Department of Finance released a full list of products to be targeted in the first round of retaliation, one day after Mr. Trump launched a trade war against Canada.
Prime Minister Justin Trudeau is scheduled to talk to Mr. Trump on Monday. It’s not known who requested the call. On Saturday, Mr. Trudeau told reporters he had not spoken to Mr. Trump since the President had taken office. “Since the inauguration, I’ve been reaching out to speak with Donald Trump. I hope to speak with him some time soon,” the Prime Minister said Saturday.
Ottawa’s target list lays out products that will be hit in the first round of retaliatory tariffs and covers $30-billion worth of American products.
Canada is readying a second, broader round of retaliatory tariffs in 21 days that will affect another $125-billion in American imports.
Read more here: Canada releases list of tariffed items
U.S. President Donald Trump has imposed unprecedented 25-per-cent tariffs on Canadian products, and 10-per-cent levies on Canadian energy, which will take effect on Tuesday.Evan Vucci/The Associated Press
Justin Trudeau said “nearly 10,000 frontline personnel are and will be working on protecting the border.”
In his afternoon call with Donald Trump, the Prime Minister says the two leaders talked about Canada implementing $1.3-billion over six years in new border security investments, reinforcing surveillance with new helicopters, technology and staff.
“In addition, Canada is making new commitments to appoint a fentanyl czar, we will list cartels as terrorists, ensure 24/7 eyes on the border, launch a Canada- U.S. Joint Strike Force to combat organized crime, fentanyl and money laundering.”
Mr. Trudeau said he has agreed to spend $200-million more on fighting fentanyl and organized crime and has signed a new intelligence directive to this effect.
US President Donald Trump shakes hands with NHL Commissioner Gary Bettman as Trump welcomes the NHL 2024 Stanley Cup Champions Florida Panthers to the White House on February 3, 2025, in Washington, DC. (Photo by Jim WATSON / AFP) (Photo by JIM WATSON/AFP via Getty Images)JIM WATSON/AFP/Getty Images
Prime Minister Justin Trudeau says U.S. President Donald Trump has agreed to pause tariffs for 30 days after a Monday afternoon call.
He said Canada has agreed to appoint a “fentanyl czar” as part the agreement.
“Proposed tariffs will be paused for at least 30 days while we work together.”
The second call between Donald Trump and Justin Trudeau “went very good,” Mr. Trump said Monday afternoon.
There was no immediate word on whether the two sides had come to an agreement that would result in the U.S. pausing the imposition of 25-per-cent tariffs starting Tuesday.
“Watch,” Mr. Trump said as he walked to the Oval Office with members of the Stanley Cup-winning Florida Panthers.
Earlier in the day, Mr. Trump paused 25-per-cent tariffs on Mexico after Mexican President Claudia Sheinbaum promised to deploy 10,000 Mexican soldiers to the border to stop the flow of fentanyl and illegal migrants into the U.S.
– Moira Wyton
Canada has exported plenty of talent to the United States over the years, and some of those celebrities are weighing in on the rift between their home and adoptive countries.
Captain Kirk himself, William Shatner, joked about needing to charge a tariff on his social media posts since he’s a product of Canada in a post on X Monday. The 93-year-old actor, best known for Star Trek, was born in Montreal and is a long-time U.S. resident and green-card holder.
Meanwhile, others such as Hollywood star Simu Liu were more forthcoming in what they thought of the United States’ tariffs. The Mississauga-born actor, who rose to fame on CBC’s Kim’s Convenience before landing the Marvel superhero role of Shang-Chi, remarked on the national unity among Canadians “taking on these dumbass tariffs” in an X post on Monday.
Back in Canada, beloved children’s singer Raffi posted a photo of his local grocery store’s yogurt section and said buying Canadian products is just “how we roll against tariff madness.”
Canada and the U.S. may be centuries-old allies – but that matters little to the new occupants of the White House.
“Spare me the sob story about how Canada is our ‘best friend,’” Vice-President JD Vance wrote this weekend on X.
“I love Canada and have many Canadian friends. But is the government meeting their NATO target for military spending? Are they stopping the flow of drugs into our country?” he wrote.
“I’m sick of being taken advantage of.”
President Donald Trump has taken a similar tone, saying Monday from the Oval Office that has little time for past loyalties.
“A lot of these countries that we’re talking about – you know, there are so called allies. But they don’t treat us well,” he said.
– The Canadian Press
British Columbia Premier David Eby says major companies in the province are in the process of redirecting critical minerals and energy products to markets outside the United States in response to American tariffs.
Mr. Eby says leaders of major mining and refining companies in B.C. have indicated they are redirecting products such as aluminum and copper to alternative markets.
Mr. Eby told a news conference in North Vancouver that a “historic reordering” of global trading patterns is under way, and B.C. will not be left out.
The premier says the shift presents an opportunity for the province to “build allyship and partnership” with others Mr. Trump is targeting or threatening with steep tariffs, including Mexico, the European Union and the United Kingdom.
“We’re going to make sure that we have other deep relationships, trading relationships, so that our families are safe. We’re transforming our economy to ensure independence and our sovereignty as a province and as a country.”
After a volatile weekend with 25% tariffs levied (10% on oil and gas) on all Canadian products going into the United States, the S&P TSX Composite Index shows market reaction on Feb 3, 2025. (Fred Lum/The Globe and Mail)Fred Lum/The Globe and Mail
– The Canadian Press
Canada’s main stock index was down more than 250 points in afternoon trading.
The S&P/TSX composite index was down 265.90 points at 25,267.20 by the afternoon after sliding more than 700 points earlier in the day.
Meanwhile, stock markets in the U.S. were off their lows of the day after U.S. President Donald Trump and Mexican President Claudia Sheinbaum put their planned tariffs on hold Monday for a month to give time for further negotiations.
In New York, the Dow Jones industrial average was down 76.16 points at 44,468.50. The S&P 500 index was down 40.23 points at 6,000.30, while the Nasdaq composite was down 210.38 points at 19,417.06.
The economic effects of tariffs for a trade-dependent country such as Canada are well-known. Significant and widespread duties would harm economic growth while driving up costs for both businesses and consumers.
But tariffs also promise to hit Canadians in unexpected ways, raising the price of even locally made or locally grown products, squeezing cash flow for smaller businesses and, in some cases, sending Canadian suppliers scrambling to pay the U.S. government for levies that usually apply to American importers.
“Every time physical goods cross the border, there’s always the risk that they will attract tariffs,” Joy Nott, partner for trade and customs at consultancy KPMG Canada, told The Globe and Mail, speaking before the U.S. and Canada’s tariff announcements.
How tariffs could pile up:
The journey of a crankshaft
A crankshaft, the metal backbone of a combustion engine, might travel between Canada and the U.S. six times as it moves along the North American supply chain. At each of those border crossings, a U.S. tariff or Canadian counter tariff could add a layer of tax. While businesses would pay the levies, much of the added cost from trade tariffs often trickles down to consumers.
Hit by Canadian
counter-tariffs
Hit by U.S. tariffs
The metal casting happens in Mexico
The crankshaft travels to Canada where it is re-finished
It then travels to the U.S. to be further finished
In Canada it’s incorporated in a truck’s engine
Then it travels to a truck assembly plant in the U.S.
In Canada it is painted and the trims are added
Then it goes back to the U.S. to be sold to consumer
MURAT YÜKSELIR /
THE GLOBE AND MAIL, SOURCE: APMA
How tariffs could pile up:
The journey of a crankshaft
A crankshaft, the metal backbone of a combustion engine, might travel between Canada and the U.S. six times as it moves along the North American supply chain. At each of those border crossings, a U.S. tariff or Canadian counter tariff could add a layer of tax. While businesses would pay the levies, much of the added cost from trade tariffs often trickles down to consumers.
Hit by Canadian counter-tariffs
Hit by U.S. tariffs
The metal casting happens in Mexico
The crankshaft travels to Canada where it is re-finished
It then travels to the U.S. to be further finished
In Canada it’s incorporated in a truck’s engine
Then it travels to a truck assembly plant in the U.S.
In Canada it is painted and the trims are added
Then it goes back to the U.S. to be sold to consumer
MURAT YÜKSELIR /
THE GLOBE AND MAIL,
SOURCE: APMA
How tariffs could pile up: The journey of a crankshaft
A crankshaft, the metal backbone of a combustion engine, might travel between Canada and the U.S. six times as it moves along the North American supply chain. At each of those border crossings, a U.S. tariff or Canadian counter tariff could add a layer of tax. While businesses would pay the levies, much of the added cost from trade tariffs often trickles down to consumers.
Hit by U.S. tariffs
Hit by Canadian counter-tariffs
In Canada it’s incorporated in a truck’s engine
The crankshaft travels to Canada where it is re-finished
In Canada it is painted and the trims are added
Then it goes back to the U.S. to be sold to consumer
Then it travels to a truck assembly plant in the U.S.
The metal casting happens in Mexico
It then travels to the U.S. to be further finished
MURAT YÜKSELIR /
THE GLOBE AND MAIL,
SOURCE: APMA
Read more here: Here’s how tariffs are calculated and collected
Flavio Volpe, head of the Automotive Parts Manufacturers’ Association, says the auto sector will likely shut down in a week or so if the 25-per-cent tariffs go into force on Tuesday.Cole Burston/The Canadian Press
– The Canadian Press
Canada’s auto sector is hoping for the tariff reprieve Mexico has secured as it faces a potential shutdown from the added border tax.
Flavio Volpe, head of the Automotive Parts Manufacturers’ Association, says he’s hoping Prime Minister Justin Trudeau can secure a delay on tariffs during a call with U.S. President Donald Trump scheduled for this afternoon.
He says the auto sector will likely shut down in a week or so if the 25-per-cent tariffs go into force on Tuesday as Mr. Trump has ordered.
Sam Fiorani, an automotive expert at AutoForecast Solutions LLC, says automakers have had little time to stock up on inventory in the days since Mr. Trump confirmed the tariffs.
He says automakers Honda and Toyota would be especially affected as they sell some of their most popular SUVs into the U.S. market from their Canadian operations, while parts suppliers would also be seriously hit.
President Donald Trump speaks as he signs executive orders in the Oval Office of the White House in Washington.Evan Vucci/The Associated Press
Donald Trump would “like to see Canada become our 51st state,” he said again Monday, in some of his most extensive remarks to date describing his desire for the U.S. to take ownership of its northern neighbour.
The U.S. President suggested that his country could annex Canada so long as American people are willing to endure some inconvenience.
”If people wanted to play the game right, it would be 100 per cent certain that they’d become a state,” he said. “But a lot of people don’t like to play the game, because they don’t have a threshold of pain. And there would be some pain. But not a lot. The pain would be really theirs.”
Mr. Trump said again that he does not believe his country has any reason to rely on goods from Canada, including lumber or cars.
For Canada to become a state, however, “it’s much different,” he said. “And there are no tariffs. So I’d love to see that.”
U.S. President Donald Trump and Prime Minister Justin Trudeau are scheduled for another call at 3 p.m. ET to discuss tariffs.SERGEI GAPONROBERTO SCHMIDT/AFP/Getty Images
Donald Trump described his Monday morning conversation with Justin Trudeau as “a pretty good call,” but made no commitment to pausing tariffs on Canada, as he has on Mexico.
Mr. Trump, in remarks from the Oval Office, reiterated his desire to see new access to Canadian markets for American banks and dairy producers.
“We don’t need them to make our cars. We don’t need them to give us lumber. We don’t need them for agricultural products,” Mr. Trump said.
He is expected to speak again with Mr. Trudeau at 3 p.m.
“Canada is very tough. They’ve very, very tough to do business with. And we can’t let them take advantage of the U.S.,” he said.
A sign is placed in front of the American whiskey section at a B.C. liquor store after top selling American made products have been removed from shelves in Vancouver, B.C., Feb. 2.ETHAN CAIRNS/The Canadian Press
– Globe Staff
The impacts of U.S. tariffs could be devastating on Canadian businesses and the economy. In response, a movement has surged to boycott American goods and buy Canadian products instead.
The Globe wants to know if your habits are changing in the face of U.S. tariffs. What products will you be substituting with a Canadian version? Are there any local brands you absolutely love? We’d love to hear about groceries, clothing, toys, home products and more – or even a general philosophy you employ when shopping in stores.
Please fill out the form below or send an email to audience@globeandmail.com to share your thoughts.
The impacts of U.S. tariffs could be devastating on Canadian businesses and the economy.
In response, a movement has surged to boycott American goods and buy Canadian products instead. The Globe wants to know if your habits are changing in the face of U.S. tariffs. What products will you be substituting with a Canadian version? Are there any local brands you absolutely love? What type of products do they sell? We’d love to hear about groceries, clothing, toys, home products and more.
Please fill out the form below or send an email to audience@globeandmail.com to share your thoughts.
Canada’s allies are speaking out in support of this country as it faces 25-per-cent tariffs on exports to the U.S.
The German embassy in Canada said in a statement Monday that Berlin “is concerned about the announcement by the United States to impose tariffs on Canada and others.”
The embassy referred to comments by German Chancellor Olaf Scholz Sunday, who said: “We must not divide the world through multiple tariff barriers, but ensure that we enable this trade in goods and services also in the future.”
“Let’s be clear: Tariffs would harm everyone,” the embassy said.
– Stephanie Levitz
Conservative Leader Pierre Poilievre is calling for Canadian soldiers to be sent to the border, along with military helicopters and surveillance.
Mr. Poilievre also wants an additional 2,000 border agents, an expansion of the Canada Border Services Agency powers so it can work along the entire Canada-U.S. Border, and the installation of more border surveillance to spot incursions.
In a video posted to social media, Mr. Poilievre says Canada’s border has been broken by inaction by the Liberal government, citing statistics on illegal firearms coming into Canada from the U.S, drug seizures at the border and migration challenges.
“President Trump’s administration has raised concerns and has put that as a rationale for imposing tariffs on Canada. These tariffs and these threats are wrong and unjustified, but it should not take a leader of a foreign country for the Liberals to scramble to fix their disastrous, broken border policy,” Mr. Poilievre said, referring to Mr. Trump’s decision to delay tariffs on Mexico because that country will reinforce its border with 10,000 national guard troops.
Read more here: Poilievre calls for soldiers at Canada-U.S. border in response to Trump
Bob Rae, who has served as Canada’s ambassador to the United Nations since 2020, says punitive economic measures can lead to the rise of extremist political movements.Sean Kilpatrick/The Canadian Press
– Chris Wilson-Smith
Bob Rae, who has served as Canada’s ambassador to the United Nations since 2020, says punitive economic measures can lead to unintended consequences, including the rise of extremist political movements.
In remarks delivered Monday morning via video to the University of Guelph, Mr. Rae highlighted the aftermath of the First World War, in which the Treaty of Versailles brought about severe sanctions on Germany. The resulting economic despair created fertile ground for extremist ideologies to take root, Mr. Rae said.
“I would just say parenthetically, unfortunately, some have not learned these lessons,” said Mr. Rae, who served as premier of Ontario between 1990 and 1995. “That’s why we’re dealing with this current tariffs crisis with the United States, because there are still some people in the United States who believe that the answer to the problems of the world and the problems of the United States are to impose higher and higher tariffs.”
“It creates incredible hardships for not only Americans and American industry, but also for those people who are being subjected to these tariffs, including Canada.”
The Canada-U.S. trade war is under way, and Canada’s relatively modest retaliation could be perceived as a sign of weakness, according to the Chartered Professional Accountants of Canada.
“The power imbalance is undeniable, and unfortunately, Canada finds itself on the losing side of it,” says David-Alexandre Brassard, CPA Canada’s chief economist. The potential ramifications for both countries could be severe, particularly with rising inflationary risks in the U.S., where Canadian and Mexican goods and services make up a quarter of total imports, he said in a news release Monday.
“The 25-per-cent tariff on these imports will undoubtedly increase costs for American consumers, while simultaneously weakening the competitiveness of Canadian businesses,” said Mr. Brassard.
“The challenge in a Canadian response is in finding the right balance between economic growth, inflationary pressures and trade retaliation.”
– The Canadian Press
The loonie plunged to US$0.68 cents as of midday Monday.
Karl Schamotta, chief market strategist at Corpay, says the loonie could see a further decline of two to three per cent if an agreement isn’t reached in the coming weeks, and risks falling even lower if markets predict the tariffs will be in place for a prolonged period of time.
Mr. Schamotta says a declining exchange rate is a telltale sign the economy is in trouble and long-term tariffs would drive Canada into a recession.
But Mr. Schamotta says there’s a silver lining – a weaker dollar could help offset the cost of tariffs for buyers around the world purchasing made-in-Canada goods.
U.S. President Donald Trump, left, and Canadian Prime Minister Justin Trudeau talk prior to a NATO round table meeting in England, Dec. 4, 2019.Frank Augstein/The Associated Press
Canadian businessman Kevin O’Leary says Donald Trump’s disdain for Justin Trudeau is an obstacle to a deal between Canada and the White House.
“Trump doesn’t like Trudeau. Has no respect for him as a leader. This is not something new. This came from the first mandate way back,” Mr. O’Leary said.
“Trump works on personal relationships, not just with Canada, all around the world, and I don’t know if there’s any path to where he’s going to negotiate a deal with Trudeau.”
Mr. O’Leary, who has visited Mr. Trump’s Mar-a-Lago residence in Florida several times since the November, 2024 presidential election, said the American leader brought up his dislike of Mr. Trudeau during conversations with him there..
“Trump doesn’t work the way other political leaders work. He just doesn’t. After 12 years people don’t understand that. It’s personal.”
– Globe Staff
North American indexes are paring their losses after Mexico’s President said the United States will delay its tariffs on Mexican imports by a month, easing some of the worries about a potential trade war.
The S&P 500 was down 0.7% in Monday morning trading after being down as much as 1.9% earlier. The Dow Jones Industrial Average trimmed its loss from 665 points to 162, while the Nasdaq composite fell 1%.
In Toronto, the S&P/TSX composite index was down 181.50 points, or 0.71%, at 25,351.60 at 10:57 a.m. ET after falling as low as 24,742.92 earlier in the trading session.
Some of the sharpest losses hit Big Tech and stocks that would be hurt most by higher interest rates and the worse inflation that could result from tariffs.
Workers weld steel at Steelcon, a structural steel design and fabrication company, before a campaign stop by Ontario Premier Doug Ford in St. Catharines, Ontario on Jan. 31.Carlos Osorio/Reuters
U.S. President Donald Trump’s imposition of 25-per-cent tariffs is a “doomsday scenario” for Canadian steel that will lead to job losses, the industry’s association says.
The Canadian steel sector is almost exclusively dependent on the U.S. for its exports and Canada has few options to sell the metal to other markets due to a global glut caused mainly by Chinese overproduction.
The tariffs will result in a vicious circle of less demand from U.S. customers and corresponding fewer imports from Canadian steelmakers. Many of the inputs Canadian steelmakers use, such as scrap iron ore, and coke, come from the U.S.
“Because we’re selling less, we’re going to probably lay off a lot of employees because a blast furnace cannot be switched on and off as we wish,” said François Desmarais, vice-president, trade and industry affairs with the Canadian Steel Producers Association.
Canada’s steel industry was hit with 25-per-cent tariffs in 2018 during Mr. Trump’s first term, but this time the tariffs are on all Canadian goods.
“This is unprecedented. We have no perspective or numbers on the magnitude of this,” Mr. Desmarais said.
Read more here: Canada’s steel sector is facing a dire impact from the imposition of 25-per-cent tariffs
Royal Bank of Canada chief executive officer Dave McKay is calling on political leaders to implement financial supports to help businesses and consumers weather the hit from tariffs.Frank Gunn/The Canadian Press
Royal Bank of Canada chief executive officer Dave McKay is calling on political leaders to reduce barriers to economic growth within Canada’s borders and to implement financial supports to help businesses and consumers weather the hit from tariffs.
Mr. McKay said in an e-mail to all RBC employees Sunday evening that Canada should remove internal trade barriers, accelerate energy and infrastructure projects, invest in technology innovation and improve tax competitiveness, according to the memo seen by The Globe.
“There are no winners in a prolonged trade war between allies, especially two nations that each have their own deep-rooted identity, unique culture and strong sense of independence,” Mr. McKay said.
“The tariffs could severely impact jobs and hurt affordability for Canadian and American workers and families, and many small and mid-sized businesses will be put at risk as the cost of doing business goes up.”
Some of Canada’s biggest bank CEOs have also jumped into the discussion on how the country and the financial sector could mitigate the impacts of tariffs:
Read more here: RBC calls for Ottawa’s support to develop programs, resources for consumers navigating trade war
– Jeff Gray and Laura Stone
Ontario Premier Doug Ford says he hopes Canada can also receive a pause from U.S. tariffs after news that levies against Mexico have been halted for one month.
“We’re their number one customer. We’re their number one export destination,” Mr. Ford said at an unrelated announcement on Monday.
Asked if he thinks Canada can secure a similar agreement to Mexico, he said Canadian officials are doing “everything we can.”
“We’re working governor to premier, premier to senator and congress people, and all premiers are doing it. They’re reaching out to their counterparts. And we’re doing our job. And I know the Prime Minister is doing his job by contacting President Trump today and later this afternoon. That decision President Trump has made is so, so misguided. He underestimates the power and the will and the fortitude of Canadians,” Mr. Ford said.
“We’re their closest trading partner and ally.”
For Canada and others seeking to challenge the legality of Donald Trump’s tariffs, the best hope may lie in U.S. courts.
The International Emergency Economic Powers Act had never before been used to impose tariffs. That opens one potential legal avenue, on what are known as “nondelegation” grounds. In other words, can Mr. Trump exercise a power under IEEPA that Congress has not specifically delegated to the presidency?
At the same time, considerable legal obstacles stand in the way of anyone seeking to defeat the tariffs in court. One is whether tariffs are considered an economic or foreign affairs issue. If the court sees the tariffs as the latter, Mr. Trump is likely to win a more favourable reception.
Another question is whether Mr. Trump is exercising a new power. In 1971, Richard Nixon imposed blanket 10-per-cent tariffs on imported goods under the Trading with the Enemy Act, a predecessor to IEEPA – although it’s not clear that precedent will matter, since IEEPA employs different language.
Read more here: The best hope for Canada in fighting a trade war with Trump may lie in U.S. courts
China is vowing retaliation after U.S.President Donald Trump slapped an additional 10-per-cent tariff on all goods from the country.
In a statement over the weekend, China’s Ministry of Foreign Affairs said it “firmly deplores and opposes this move and will take necessary countermeasures to defend its legitimate rights and interests.”
Beijing is also pushing back against U.S. claims that it is not doing enough to tackle fentanyl trafficking – pointing to years of co-operation on this issue – and is threatening to file suit against Washington at the World Trade Organization.
Read more here: China to retaliate after Trump fires first measures in trade war
Mexico’s President Claudia Sheinbaum said the US has agreed to pause the start of tariffs on Mexican goods for one month, after talks with her counterpart Donald Trump.YURI CORTEZ/AFP/Getty Images
U.S. President Donald Trump says he has agreed to delay 25-per-cent tariffs on Mexico for one month as the countries negotiate a long term deal on border security.
In a social media post, the U.S. President said Mexican President Claudia Sheinbaum agreed to deploy 10,000 Mexican soldiers to the border “to stop the flow of fentanyl, and illegal migrants into our country.”
“We further agreed to immediately pause the anticipated tariffs for a one month period during which we will have negotiations headed by Secretary of State Marco Rubio, Secretary of Treasury Scott Bessent, and Secretary of Commerce Howard Lutnick, and high-level Representatives of Mexico.”
Mr. Trump added: “I look forward to participating in those negotiations, with President Sheinbaum, as we attempt to achieve a ‘deal’ between our two Countries.”
Posting on X, Ms. Sheinbaum said she had a “good conversation with President Trump with great respect for our relationship and sovereignty” and confirmed Mexico will immediately reinforce the northern border The United States has also committed to working to prevent the trafficking of high-powered weapons to Mexico, she said.
The tariffs against Canada are set to take effect on Tuesday.
Conrad Black, who President Donald Trump pardoned in his first term, has offered some words of advice to Prime Minister Justin Trudeau and his cabinet as Canada faces a trade war with the U.S.
“If someone in the beleaguered Liberal cabinet, with the authority to do so, called up the president and proposed two simple things, I suspect the trade war would end overnight,” he said in a post on X.
“Firstly, a modest earmark for stronger and collaborative border security measures (which would both satisfy Trump and redound to our benefit – see the Toronto police’s seizure of 900kg of cocaine two weeks ago, smuggled over the U.S. border, and note the vast majority of illegal firearms on Canadian streets come over the U.S. border).
“Secondly, make good on our long-overdue commitment as a member of NATO to contribute 3% of GDP to defense. Something we should be doing for decades.
“That’s it. My prediction is those two mutually beneficial ‘concessions’ with a bit of finesse would be enough to resolve the issue overnight.
“In my personal experience with Donald Trump, he is a tough negotiator, but I have never known him to reject a fair deal.”
European Council President Antonio Costa, left, greets Ireland’s Prime Minister Micheál Martin as he arrives for an EU summit at the Egmont Palace in Brussels.Nicolas Tucat/The Associated Press
EU leaders have started their summit in Brussels and not surprisingly tariffs have become the main topic of discussion after U.S. President Donald Trump announced plans to slap hefty tariffs on U.S. imports from Europe.
Ireland’s Taoiseach, or Prime Minister, Micheál Martin, has urged caution in any response to the tariffs.
“First of all, we have to see what happens and assess it and measure it, calibrate the impacts, and then develop our response,” he told reporters on his way into the summit.
“But I wouldn’t do anything prematurely right now, until we see what exactly is being proposed, if something is being proposed. What is essential is that the European Union acts as one and will act as one. And I think in unity, there is strength.”
Ireland is among the EU member states that relies heavily on trade with the U.S. In 2023, around 28 per cent of all Irish exports were sold into the U.S.
– Globe Staff
Canada’s main stock index opened lower on Monday as investors dumped risky assets after Ottawa retaliated against U.S. President Donald Trump’s tariffs on imports.
At 9:33 a.m. ET, the Toronto Stock Exchange’s S&P/TSX composite index was down 2.4% at 24,920.36.
The Canadian dollar fell to its lowest level since 2003, trading at US$0.68 compared with US$0.69 on Friday.
Canadian government 10-year bond yields fell 14.8 basis points to 2.917%.
Britain and the European Union are bracing for U.S. President Donald Trump to impose sweeping tariffs on U.S. imports from Europe.
Tariffs “will definitely happen with the European Union,” Mr. Trump said over the weekend. “They don’t take our cars; they don’t take our farm products. They take almost nothing, and we take everything from the millions of cars, tremendous amounts of food and farm products.”
He added that the U.S. had a US$350-billion trade deficit with the EU and that the tariffs would be introduced “pretty soon.” Officials in Britain have also been keen to point out in recent days that the country doesn’t have a trade deficit with the U.S.
Stock markets in Britain and Europe fell sharply Monday morning in response to the rising trade tensions.
Donald Trump is making fresh demands for Ottawa to allow American banks greater latitude to operate north of the border, following the first of two phone calls scheduled with Prime Minister Justin Trudeau on Monday.
“Canada doesn’t even allow U.S. Banks to open or do business there. What’s that all about?” Mr. Trump wrote on Truth Social.
He said he had just spoken with Mr. Trudeau and expects to speak with the Prime Minister again at 3 p.m. Monday.
“Canada has been very abusive of the United States for many years,” he told reporters after arriving back in Washington, D.C. from Florida.
Mr. Trump also accused Canada of being “very tough on oil, on energy. They don’t allow our farm products in, essentially. They don’t allow a lot of things in.
“And we allow everything to come in. It’s been a one-way street.”
Foreign banks, including American institutions, have operated in Canada for many years. The Office of the Superintendent of Financial Institutions currently regulates at least 15 foreign bank subsidiaries in Canada, including Citibank Canada, J.P. Morgan Bank Canada, and UBS Bank Canada.
Read more here: Trump wants U.S. banks in Canada, he says after speaking with Trudeau
Ontario Premier Doug Ford says the province will rip up its $100-million contract with Elon Musk’s SpaceX to deliver high-speed internet to remote areas as part of the response to U.S. tariffs.Peter Power/The Canadian Press
– Jeff Gray and Laura Stone
Ontario Premier Doug Ford says he is cancelling a $100-million provincial contract for rural satellite Internet with Starlink, a company controlled by billionaire Elon Musk, a key supporter of U.S. President Donald Trump.
“Ontario won’t do business with people hell-bent on destroying our economy,” Mr. Ford said in a statement issued Monday by his Progressive Conservative Party re-election campaign.
Mr. Ford also said he was banning all U.S. companies from bidding on Ontario government contracts, until the 25-per-cent U.S. tariffs on Canadian goods being imposed on Tuesday are removed.
“U.S.-based businesses will now lose out on tens of billions of dollars in new revenues,” he said. “They only have President Trump to blame.”
He said the ban means U.S. firms will miss out on any piece of the $30-billion in goods and services the Ontario government and its agencies procure from the private sector each year, as well as any future contracts awarded as part of the province’s planned $200-billion in infrastructure spending over the next decade.
Read more: Ontario to cancel $100-million contract with Elon Musk’s Starlink
Global markets sank on fears that U.S. President Donald Trump’s tariffs on Canada, Mexico and China mark an opening salvo in a global trade war that would curb economic growth internationally.
Wall Street futures tumbled as investors considered what a full-blown trade war might mean to the U.S. economy.
‘Brace for impact’: Economists and market strategists react to trade war as loonie and stocks slide
TSX futures followed sentiment lower. As The Globe reports, the worst shock to global trade in nearly a century is expected to plunge Canada’s economy into recession this year. Companies are scrambling to overhaul their business models, while consumers are being warned to expect higher prices on some food items starting this week.
Meanwhile, the Canadian dollar weakened against its U.S. counterpart.
The day range on the loonie was 67.60 US cents to 68.77 US cents in early trading. The Canadian dollar was down about 2.27 per cent against the greenback over the past month.
The U.S. dollar index, which weighs the greenback against a group of currencies, climbed 0.77 per cent to 109.21.
Canada will hit back at US tariffs with 25 percent levies of its own on select American goods, Prime Minister Justin Trudeau said on February 1.ANDREJ IVANOV/AFP/Getty Images
– Steven Chase and Nathan VanderKlippe
Canada unveiled the details of its first retaliatory barrage in an escalating trade war with the United States as U.S. President Donald Trump told Canadians they could avoid his punitive tariffs if they agree to be annexed as the 51st state.
Canadian officials said Sunday they are applying 25-per-cent retaliatory tariffs to 1,200 categories of American imports from chicken and orange juice to wine, refrigerators and motorcycles starting Tuesday.
The Department of Finance released a full list of products to be targeted in the first round of retaliation, one day after Mr. Trump launched a trade war against Canada.
Prime Minister Justin Trudeau is scheduled to talk to Mr. Trump on Monday. It’s not known who requested the call. On Saturday, Mr. Trudeau told reporters he had not spoken to Mr. Trump since the President had taken office. “Since the inauguration, I’ve been reaching out to speak with Donald Trump. I hope to speak with him some time soon,” the Prime Minister said Saturday.
Ottawa’s target list lays out products that will be hit in the first round of retaliatory tariffs and covers $30-billion worth of American products.
Canada is readying a second, broader round of retaliatory tariffs in 21 days that will affect another $125-billion in American imports.
Read more here: Canada releases list of tariffed items
U.S. President Donald Trump has imposed unprecedented 25-per-cent tariffs on Canadian products, and 10-per-cent levies on Canadian energy, which will take effect on Tuesday.Evan Vucci/The Associated Press
– Carrie Tait
Alberta Premier Danielle Smith, who broke from her counterparts across the country by eschewing retaliatory measures, said on social media she is “greatly heartened” Canada and the U.S. reached a deal to “crack down on Fentanyl trafficking and other illegal activities at our shared border.”
Ms. Smith said Alberta had been calling for a “Canadian fentanyl czar” since U.S. representatives and officials in the Trump administration made it clear to her government “that this would be a critical part of reaching a deal to avoid tariffs.” On social media earlier in the day and at a press conference last week, Ms. Smith urged the federal government to appoint a “border czar,” suggesting a general should take the helm.
“Diplomacy has won the day,” Ms. Smith wrote on X. “… I once again call on our federal government officials and fellow Premiers to de-escalate rhetoric, abandon any non-tariff measures for the time being, and turn our efforts entirely to advocacy and good faith negotiation.”
She said she will travel to Washington next week with other premiers to further press Canada’s case. Ms. Smith said she will also attend the National Governors Association later this month.
In an op-ed published Sunday, Ms. Smith said diplomacy by her government and industry was “a primary reason” Mr. Trump planned to impose a 10 per cent tariff, rather than 25 per cent, on Canadian energy.
– Mariya Postelnyak
This Esso station at Mt Pleasant Rd and Merton St. in midtown Toronto shows regular gas priced at 151.9 cents per litre on Feb 3, 2025.Fred Lum/The Globe and Mail
The cost of lettuce and other perishable foods, and gasoline prices in some provinces, would be the first costs to spike for Canadian consumers if and when U.S. President Donald Trump slaps a 25-per-cent tariff on imports from Canada, and if Ottawa and the provinces retaliate.
On Monday, Prime Minister Justin Trudeau announced a 30-day pause on the implementation of new U.S. tariffs and Canadian countertariffs on American goods, which were scheduled to begin Tuesday. By some estimates, if tariffs proceed, the price of gasoline could increase by as much as 10 per cent in some provinces and Canadian auto buyers might pay in excess of $8,000 more for a new car within weeks.
Read more: If tariffs do come for Canada, here’s what would get expensive first
– Frédérik-Xavier D. Plante
Quebec Premier Francois Legault speaks to the media during a press conference in Montreal on Monday.Christinne Muschi/The Canadian Press
Quebec Premier François Legault said U.S. products would be put back on the shelves of the SAQ, the provincial liquor store chain, following the postponement of U.S. tariffs on Canadian products.
At a news conference in Montreal, Mr. Legault said the respite is good news, but the continuing uncertainty is bad for business. The Premier called for an early renegotiation of the free trade agreement between Canada, the U.S. and Mexico, which is due in 2026, to end the uncertainty and avoid more tariff threats.
Mr. Legault declined to comment on previously announced penalties for U.S. companies bidding on Quebec government contracts. He said, however, that Quebec is reviewing a contract with Elon Musk’s Starlink satellite internet provider. “We would like to get out of this contract,” Mr. Legault said.
Threatened tariffs have been paused for 30 days, but Kentucky bourbon producers again find themselves in the crosshairs as a target for retaliation as President Donald Trump considers new import taxes on Canada and Mexico.
The Associated Press
A sign notifying customers that a Winnipeg store will stop selling U.S. liquor is displayed before Premier Wab Kinew said he would pause the plan due to the hold on U.S. tariffs reached by Trump and Trudeau.Ed White/Reuters
– Temur Durrani and Lindsay Jones
Manitoba Premier Wab Kinew says his government is pausing its removal of American alcohol from liquor stores in the province after U.S. President Donald Trump announced a 30-day reprieve on tariffs for Canada.
Mr. Kinew told reporters late Monday that the pause is temporary, reacting to the news he had just seen on social media at the tail end of an unrelated event in Winnipeg.
He declined to say whether or not his retaliatory measure targeting American alcohol, which was implemented Sunday, would be back on the table should U.S. tariffs proceed after Mr. Trump’s 30-day delay.
Nova Scotia Premier Tim Houston says he, too, is standing down on retaliatory measures, expressing relief about the tariff pause.
“For now, we can all take a breath,” he wrote in a statement posted on social media.
He expressed how difficult it’s been for Canadians these past several days to watch in “real-time as President Trump’s desired goals continued to shift.”
But he noted that the strength of Canada’s long-time friendship with the United States will ultimately prevail. “It has survived wars, recessions, and pandemics – I believe it can also ultimately survive President Trump.”
New Brunswick Premier Susan Holt says she is happy to hear about the tariff pause and hopes Canada and the United States can continue to make progress over the coming weeks.
“We remain ready with our tariff response plan,” she said, adding that American alcoholic beverages will remain on Alcool NB Liquor shelves. However, the province will not be purchasing new product for the time being.
– Jeff Gray
Ontario Premier Doug Ford is pausing plans to scrap a $100-millon deal with Elon Musk’s Starlink satellite internet service provider and throw U.S. alcohol off Ontario’s liquor-store shelves after Mr. Trump offered a last-minute reprieve from economically damaging tariffs.
The relaxing of tensions came just hours after Mr. Ford said at a Monday campaign event that he would cancel the province’s deal with Starlink, the company owned by the billionaire Trump acolyte, and ban U.S firms from bidding on Ontario government contracts. Mr. Ford and other premiers had also announced plans to block sales of U.S. alcohol.
“With the U.S. pausing tariffs, Ontario will also pause our retaliatory measures,” Mr. Ford said in a statement. “If President Trump proceeds with tariffs, we won’t hesitate to remove American products off LCBO shelves or ban American companies from provincial procurement.”
– Reuters, Globe staff
The major stock indexes on both Wall Street and Bay Street closed lower on Monday, but partly recovered from initial steeper losses as U.S. President Donald Trump delayed tariffs on Mexico after his orders to levy tariffs on three countries sparked a global scramble to safe-haven assets earlier in the day.
According to preliminary data, the S&P 500 lost 45.45 points, or 0.75%, to end at 5,995.01 points, while the Nasdaq Composite lost 235.21 points, or 1.20%, to 19,392.23. The Dow Jones Industrial Average fell 124.47 points, or 0.27%, to 44,420.19.
The 11 major S&P sectors were mixed, with defensive ones such as healthcare and consumer staples leading gains while information technology and consumer discretionary lost the most ground.
Legacy automakers like Ford and General Motors – which have been roiled by the impending tariffs – recouped some of their losses.
The loonie edged higher Monday.
Donald Trump said he was “very pleased” with the agreement struck with Justin Trudeau to pause tariffs in exchange for new Canadian spending on border security and narcotics intelligence.
“The Tariffs announced on Saturday will be paused for a 30 day period to see whether or not a final Economic deal with Canada can be structured,” Mr. Trump wrote on Truth Social.
He reposted the text of a social media post from Mr. Trudeau, who outlined the commitments Canada made to the U.S.
Mr. Trump wrote: “Canada has agreed to ensure we have a secure Northern Border, and to finally end the deadly scourge of drugs like Fentanyl that have been pouring into our Country, killing hundreds of thousands of Americans, while destroying their families and communities all across our Country.”
Justin Trudeau said “nearly 10,000 frontline personnel are and will be working on protecting the border.”
In his afternoon call with Donald Trump, the Prime Minister says the two leaders talked about Canada implementing $1.3-billion over six years in new border security investments, reinforcing surveillance with new helicopters, technology and staff.
“In addition, Canada is making new commitments to appoint a fentanyl czar, we will list cartels as terrorists, ensure 24/7 eyes on the border, launch a Canada- U.S. Joint Strike Force to combat organized crime, fentanyl and money laundering.”
Mr. Trudeau said he has agreed to spend $200-million more on fighting fentanyl and organized crime and has signed a new intelligence directive to this effect.
U.S. President Donald Trump welcomes the NHL 2024 Stanley Cup Champions Florida Panthers to the White House on February 3, 2025, in Washington, DC.JIM WATSON/AFP/Getty Images
Prime Minister Justin Trudeau says U.S. President Donald Trump has agreed to pause tariffs for 30 days after a Monday afternoon call.
He said Canada has agreed to appoint a “fentanyl czar” as part the agreement.
“Proposed tariffs will be paused for at least 30 days while we work together.”
The second call between Donald Trump and Justin Trudeau “went very good,” Mr. Trump said Monday afternoon.
Before Mr. Trudeau’s statement, there was not yet word on whether the two sides had come to an agreement that would result in the U.S. pausing the imposition of 25-per-cent tariffs starting Tuesday.
“Watch,” Mr. Trump said as he walked to the Oval Office with members of the Stanley Cup-winning Florida Panthers.
Earlier in the day, Mr. Trump paused 25-per-cent tariffs on Mexico after Mexican President Claudia Sheinbaum promised to deploy 10,000 Mexican soldiers to the border to stop the flow of fentanyl and illegal migrants into the U.S.
– Moira Wyton
Canada has exported plenty of talent to the United States over the years, and some of those celebrities are weighing in on the rift between their home and adoptive countries.
Captain Kirk himself, William Shatner, joked about needing to charge a tariff on his social media posts since he’s a product of Canada in a post on X Monday. The 93-year-old actor, best known for Star Trek, was born in Montreal and is a long-time U.S. resident and green-card holder.
Meanwhile, others such as Hollywood star Simu Liu were more forthcoming in what they thought of the United States’ tariffs. The Mississauga-raised actor, who rose to fame on CBC’s Kim’s Convenience before landing the Marvel superhero role of Shang-Chi, remarked on the national unity among Canadians “taking on these dumbass tariffs” in an X post on Monday.
Back in Canada, beloved children’s singer Raffi posted a photo of his local grocery store’s yogurt section and said buying Canadian products is just “how we roll against tariff madness.”
Canada and the U.S. may be centuries-old allies – but that matters little to the new occupants of the White House.
“Spare me the sob story about how Canada is our ‘best friend,’” Vice-President JD Vance wrote this weekend on X.
“I love Canada and have many Canadian friends. But is the government meeting their NATO target for military spending? Are they stopping the flow of drugs into our country?” he wrote.
“I’m sick of being taken advantage of.”
President Donald Trump has taken a similar tone, saying Monday from the Oval Office that has little time for past loyalties.
“A lot of these countries that we’re talking about – you know, there are so called allies. But they don’t treat us well,” he said.
– The Canadian Press
British Columbia Premier David Eby says major companies in the province are in the process of redirecting critical minerals and energy products to markets outside the United States in response to American tariffs.
Mr. Eby says leaders of major mining and refining companies in B.C. have indicated they are redirecting products such as aluminum and copper to alternative markets.
Mr. Eby told a news conference in North Vancouver that a “historic reordering” of global trading patterns is under way, and B.C. will not be left out.
The premier says the shift presents an opportunity for the province to “build allyship and partnership” with others Mr. Trump is targeting or threatening with steep tariffs, including Mexico, the European Union and the United Kingdom.
“We’re going to make sure that we have other deep relationships, trading relationships, so that our families are safe. We’re transforming our economy to ensure independence and our sovereignty as a province and as a country.”
After a volatile weekend with 25% tariffs levied (10% on oil and gas) on all Canadian products going into the United States, the S&P TSX Composite Index shows market reaction on Feb 3, 2025. (Fred Lum/The Globe and Mail)Fred Lum/The Globe and Mail
– The Canadian Press
Canada’s main stock index was down more than 250 points in afternoon trading.
The S&P/TSX composite index was down 265.90 points at 25,267.20 by the afternoon after sliding more than 700 points earlier in the day.
Meanwhile, stock markets in the U.S. were off their lows of the day after U.S. President Donald Trump and Mexican President Claudia Sheinbaum put their planned tariffs on hold Monday for a month to give time for further negotiations.
In New York, the Dow Jones industrial average was down 76.16 points at 44,468.50. The S&P 500 index was down 40.23 points at 6,000.30, while the Nasdaq composite was down 210.38 points at 19,417.06.
The economic effects of tariffs for a trade-dependent country such as Canada are well-known. Significant and widespread duties would harm economic growth while driving up costs for both businesses and consumers.
But tariffs also promise to hit Canadians in unexpected ways, raising the price of even locally made or locally grown products, squeezing cash flow for smaller businesses and, in some cases, sending Canadian suppliers scrambling to pay the U.S. government for levies that usually apply to American importers.
“Every time physical goods cross the border, there’s always the risk that they will attract tariffs,” Joy Nott, partner for trade and customs at consultancy KPMG Canada, told The Globe and Mail, speaking before the U.S. and Canada’s tariff announcements.
How tariffs could pile up:
The journey of a crankshaft
A crankshaft, the metal backbone of a combustion engine, might travel between Canada and the U.S. six times as it moves along the North American supply chain. At each of those border crossings, a U.S. tariff or Canadian counter tariff could add a layer of tax. While businesses would pay the levies, much of the added cost from trade tariffs often trickles down to consumers.
Hit by Canadian
counter-tariffs
Hit by U.S. tariffs
The metal casting happens in Mexico
The crankshaft travels to Canada where it is re-finished
It then travels to the U.S. to be further finished
In Canada it’s incorporated in a truck’s engine
Then it travels to a truck assembly plant in the U.S.
In Canada it is painted and the trims are added
Then it goes back to the U.S. to be sold to consumer
MURAT YÜKSELIR /
THE GLOBE AND MAIL, SOURCE: APMA
How tariffs could pile up:
The journey of a crankshaft
A crankshaft, the metal backbone of a combustion engine, might travel between Canada and the U.S. six times as it moves along the North American supply chain. At each of those border crossings, a U.S. tariff or Canadian counter tariff could add a layer of tax. While businesses would pay the levies, much of the added cost from trade tariffs often trickles down to consumers.
Hit by Canadian counter-tariffs
Hit by U.S. tariffs
The metal casting happens in Mexico
The crankshaft travels to Canada where it is re-finished
It then travels to the U.S. to be further finished
In Canada it’s incorporated in a truck’s engine
Then it travels to a truck assembly plant in the U.S.
In Canada it is painted and the trims are added
Then it goes back to the U.S. to be sold to consumer
MURAT YÜKSELIR /
THE GLOBE AND MAIL,
SOURCE: APMA
How tariffs could pile up: The journey of a crankshaft
A crankshaft, the metal backbone of a combustion engine, might travel between Canada and the U.S. six times as it moves along the North American supply chain. At each of those border crossings, a U.S. tariff or Canadian counter tariff could add a layer of tax. While businesses would pay the levies, much of the added cost from trade tariffs often trickles down to consumers.
Hit by U.S. tariffs
Hit by Canadian counter-tariffs
In Canada it’s incorporated in a truck’s engine
The crankshaft travels to Canada where it is re-finished
In Canada it is painted and the trims are added
Then it goes back to the U.S. to be sold to consumer
Then it travels to a truck assembly plant in the U.S.
The metal casting happens in Mexico
It then travels to the U.S. to be further finished
MURAT YÜKSELIR /
THE GLOBE AND MAIL,
SOURCE: APMA
Read more here: Here’s how tariffs are calculated and collected
Flavio Volpe, head of the Automotive Parts Manufacturers’ Association, says the auto sector will likely shut down in a week or so if the 25-per-cent tariffs go into force on Tuesday.Cole Burston/The Canadian Press
– The Canadian Press
Canada’s auto sector is hoping for the tariff reprieve Mexico has secured as it faces a potential shutdown from the added border tax.
Flavio Volpe, head of the Automotive Parts Manufacturers’ Association, says he’s hoping Prime Minister Justin Trudeau can secure a delay on tariffs during a call with U.S. President Donald Trump scheduled for this afternoon.
He says the auto sector will likely shut down in a week or so if the 25-per-cent tariffs go into force on Tuesday as Mr. Trump has ordered.
Sam Fiorani, an automotive expert at AutoForecast Solutions LLC, says automakers have had little time to stock up on inventory in the days since Mr. Trump confirmed the tariffs.
He says automakers Honda and Toyota would be especially affected as they sell some of their most popular SUVs into the U.S. market from their Canadian operations, while parts suppliers would also be seriously hit.
President Donald Trump speaks as he signs executive orders in the Oval Office of the White House in Washington.Evan Vucci/The Associated Press
Donald Trump would “like to see Canada become our 51st state,” he said again Monday, in some of his most extensive remarks to date describing his desire for the U.S. to take ownership of its northern neighbour.
The U.S. President suggested that his country could annex Canada so long as American people are willing to endure some inconvenience.
”If people wanted to play the game right, it would be 100 per cent certain that they’d become a state,” he said. “But a lot of people don’t like to play the game, because they don’t have a threshold of pain. And there would be some pain. But not a lot. The pain would be really theirs.”
Mr. Trump said again that he does not believe his country has any reason to rely on goods from Canada, including lumber or cars.
For Canada to become a state, however, “it’s much different,” he said. “And there are no tariffs. So I’d love to see that.”
U.S. President Donald Trump and Prime Minister Justin Trudeau are scheduled for another call at 3 p.m. ET to discuss tariffs.SERGEI GAPONROBERTO SCHMIDT/AFP/Getty Images
Donald Trump described his Monday morning conversation with Justin Trudeau as “a pretty good call,” but made no commitment to pausing tariffs on Canada, as he has on Mexico.
Mr. Trump, in remarks from the Oval Office, reiterated his desire to see new access to Canadian markets for American banks and dairy producers.
“We don’t need them to make our cars. We don’t need them to give us lumber. We don’t need them for agricultural products,” Mr. Trump said.
He is expected to speak again with Mr. Trudeau at 3 p.m.
“Canada is very tough. They’ve very, very tough to do business with. And we can’t let them take advantage of the U.S.,” he said.
A sign is placed in front of the American whiskey section at a B.C. liquor store after top selling American made products have been removed from shelves in Vancouver, B.C., Feb. 2.ETHAN CAIRNS/The Canadian Press
– Globe Staff
The impacts of U.S. tariffs could be devastating on Canadian businesses and the economy. In response, a movement has surged to boycott American goods and buy Canadian products instead.
The Globe wants to know if your habits are changing in the face of U.S. tariffs. What products will you be substituting with a Canadian version? Are there any local brands you absolutely love? We’d love to hear about groceries, clothing, toys, home products and more – or even a general philosophy you employ when shopping in stores.
Please fill out the form below or send an email to audience@globeandmail.com to share your thoughts.
The impacts of U.S. tariffs could be devastating on Canadian businesses and the economy.
In response, a movement has surged to boycott American goods and buy Canadian products instead. The Globe wants to know if your habits are changing in the face of U.S. tariffs. What products will you be substituting with a Canadian version? Are there any local brands you absolutely love? What type of products do they sell? We’d love to hear about groceries, clothing, toys, home products and more.
Please fill out the form below or send an email to audience@globeandmail.com to share your thoughts.
Canada’s allies are speaking out in support of this country as it faces 25-per-cent tariffs on exports to the U.S.
The German embassy in Canada said in a statement Monday that Berlin “is concerned about the announcement by the United States to impose tariffs on Canada and others.”
The embassy referred to comments by German Chancellor Olaf Scholz Sunday, who said: “We must not divide the world through multiple tariff barriers, but ensure that we enable this trade in goods and services also in the future.”
“Let’s be clear: Tariffs would harm everyone,” the embassy said.
– Stephanie Levitz
Conservative Leader Pierre Poilievre is calling for Canadian soldiers to be sent to the border, along with military helicopters and surveillance.
Mr. Poilievre also wants an additional 2,000 border agents, an expansion of the Canada Border Services Agency powers so it can work along the entire Canada-U.S. Border, and the installation of more border surveillance to spot incursions.
In a video posted to social media, Mr. Poilievre says Canada’s border has been broken by inaction by the Liberal government, citing statistics on illegal firearms coming into Canada from the U.S, drug seizures at the border and migration challenges.
“President Trump’s administration has raised concerns and has put that as a rationale for imposing tariffs on Canada. These tariffs and these threats are wrong and unjustified, but it should not take a leader of a foreign country for the Liberals to scramble to fix their disastrous, broken border policy,” Mr. Poilievre said, referring to Mr. Trump’s decision to delay tariffs on Mexico because that country will reinforce its border with 10,000 national guard troops.
Read more here: Poilievre calls for soldiers at Canada-U.S. border in response to Trump
Bob Rae, who has served as Canada’s ambassador to the United Nations since 2020, says punitive economic measures can lead to the rise of extremist political movements.Sean Kilpatrick/The Canadian Press
– Chris Wilson-Smith
Bob Rae, who has served as Canada’s ambassador to the United Nations since 2020, says punitive economic measures can lead to unintended consequences, including the rise of extremist political movements.
In remarks delivered Monday morning via video to the University of Guelph, Mr. Rae highlighted the aftermath of the First World War, in which the Treaty of Versailles brought about severe sanctions on Germany. The resulting economic despair created fertile ground for extremist ideologies to take root, Mr. Rae said.
“I would just say parenthetically, unfortunately, some have not learned these lessons,” said Mr. Rae, who served as premier of Ontario between 1990 and 1995. “That’s why we’re dealing with this current tariffs crisis with the United States, because there are still some people in the United States who believe that the answer to the problems of the world and the problems of the United States are to impose higher and higher tariffs.”
“It creates incredible hardships for not only Americans and American industry, but also for those people who are being subjected to these tariffs, including Canada.”
The Canada-U.S. trade war is under way, and Canada’s relatively modest retaliation could be perceived as a sign of weakness, according to the Chartered Professional Accountants of Canada.
“The power imbalance is undeniable, and unfortunately, Canada finds itself on the losing side of it,” says David-Alexandre Brassard, CPA Canada’s chief economist. The potential ramifications for both countries could be severe, particularly with rising inflationary risks in the U.S., where Canadian and Mexican goods and services make up a quarter of total imports, he said in a news release Monday.
“The 25-per-cent tariff on these imports will undoubtedly increase costs for American consumers, while simultaneously weakening the competitiveness of Canadian businesses,” said Mr. Brassard.
“The challenge in a Canadian response is in finding the right balance between economic growth, inflationary pressures and trade retaliation.”
– The Canadian Press
The loonie plunged to US$0.68 cents as of midday Monday.
Karl Schamotta, chief market strategist at Corpay, says the loonie could see a further decline of two to three per cent if an agreement isn’t reached in the coming weeks, and risks falling even lower if markets predict the tariffs will be in place for a prolonged period of time.
Mr. Schamotta says a declining exchange rate is a telltale sign the economy is in trouble and long-term tariffs would drive Canada into a recession.
But Mr. Schamotta says there’s a silver lining – a weaker dollar could help offset the cost of tariffs for buyers around the world purchasing made-in-Canada goods.
U.S. President Donald Trump, left, and Canadian Prime Minister Justin Trudeau talk prior to a NATO round table meeting in England, Dec. 4, 2019.Frank Augstein/The Associated Press
Canadian businessman Kevin O’Leary says Donald Trump’s disdain for Justin Trudeau is an obstacle to a deal between Canada and the White House.
“Trump doesn’t like Trudeau. Has no respect for him as a leader. This is not something new. This came from the first mandate way back,” Mr. O’Leary said.
“Trump works on personal relationships, not just with Canada, all around the world, and I don’t know if there’s any path to where he’s going to negotiate a deal with Trudeau.”
Mr. O’Leary, who has visited Mr. Trump’s Mar-a-Lago residence in Florida several times since the November, 2024 presidential election, said the American leader brought up his dislike of Mr. Trudeau during conversations with him there..
“Trump doesn’t work the way other political leaders work. He just doesn’t. After 12 years people don’t understand that. It’s personal.”
– Globe Staff
North American indexes are paring their losses after Mexico’s President said the United States will delay its tariffs on Mexican imports by a month, easing some of the worries about a potential trade war.
The S&P 500 was down 0.7% in Monday morning trading after being down as much as 1.9% earlier. The Dow Jones Industrial Average trimmed its loss from 665 points to 162, while the Nasdaq composite fell 1%.
In Toronto, the S&P/TSX composite index was down 181.50 points, or 0.71%, at 25,351.60 at 10:57 a.m. ET after falling as low as 24,742.92 earlier in the trading session.
Some of the sharpest losses hit Big Tech and stocks that would be hurt most by higher interest rates and the worse inflation that could result from tariffs.
Workers weld steel at Steelcon, a structural steel design and fabrication company, before a campaign stop by Ontario Premier Doug Ford in St. Catharines, Ontario on Jan. 31.Carlos Osorio/Reuters
U.S. President Donald Trump’s imposition of 25-per-cent tariffs is a “doomsday scenario” for Canadian steel that will lead to job losses, the industry’s association says.
The Canadian steel sector is almost exclusively dependent on the U.S. for its exports and Canada has few options to sell the metal to other markets due to a global glut caused mainly by Chinese overproduction.
The tariffs will result in a vicious circle of less demand from U.S. customers and corresponding fewer imports from Canadian steelmakers. Many of the inputs Canadian steelmakers use, such as scrap iron ore, and coke, come from the U.S.
“Because we’re selling less, we’re going to probably lay off a lot of employees because a blast furnace cannot be switched on and off as we wish,” said François Desmarais, vice-president, trade and industry affairs with the Canadian Steel Producers Association.
Canada’s steel industry was hit with 25-per-cent tariffs in 2018 during Mr. Trump’s first term, but this time the tariffs are on all Canadian goods.
“This is unprecedented. We have no perspective or numbers on the magnitude of this,” Mr. Desmarais said.
Read more here: Canada’s steel sector is facing a dire impact from the imposition of 25-per-cent tariffs
Royal Bank of Canada chief executive officer Dave McKay is calling on political leaders to implement financial supports to help businesses and consumers weather the hit from tariffs.Frank Gunn/The Canadian Press
Royal Bank of Canada chief executive officer Dave McKay is calling on political leaders to reduce barriers to economic growth within Canada’s borders and to implement financial supports to help businesses and consumers weather the hit from tariffs.
Mr. McKay said in an e-mail to all RBC employees Sunday evening that Canada should remove internal trade barriers, accelerate energy and infrastructure projects, invest in technology innovation and improve tax competitiveness, according to the memo seen by The Globe.
“There are no winners in a prolonged trade war between allies, especially two nations that each have their own deep-rooted identity, unique culture and strong sense of independence,” Mr. McKay said.
“The tariffs could severely impact jobs and hurt affordability for Canadian and American workers and families, and many small and mid-sized businesses will be put at risk as the cost of doing business goes up.”
Some of Canada’s biggest bank CEOs have also jumped into the discussion on how the country and the financial sector could mitigate the impacts of tariffs:
Read more here: RBC calls for Ottawa’s support to develop programs, resources for consumers navigating trade war
– Jeff Gray and Laura Stone
Ontario Premier Doug Ford says he hopes Canada can also receive a pause from U.S. tariffs after news that levies against Mexico have been halted for one month.
“We’re their number one customer. We’re their number one export destination,” Mr. Ford said at an unrelated announcement on Monday.
Asked if he thinks Canada can secure a similar agreement to Mexico, he said Canadian officials are doing “everything we can.”
“We’re working governor to premier, premier to senator and congress people, and all premiers are doing it. They’re reaching out to their counterparts. And we’re doing our job. And I know the Prime Minister is doing his job by contacting President Trump today and later this afternoon. That decision President Trump has made is so, so misguided. He underestimates the power and the will and the fortitude of Canadians,” Mr. Ford said.
“We’re their closest trading partner and ally.”
For Canada and others seeking to challenge the legality of Donald Trump’s tariffs, the best hope may lie in U.S. courts.
The International Emergency Economic Powers Act had never before been used to impose tariffs. That opens one potential legal avenue, on what are known as “nondelegation” grounds. In other words, can Mr. Trump exercise a power under IEEPA that Congress has not specifically delegated to the presidency?
At the same time, considerable legal obstacles stand in the way of anyone seeking to defeat the tariffs in court. One is whether tariffs are considered an economic or foreign affairs issue. If the court sees the tariffs as the latter, Mr. Trump is likely to win a more favourable reception.
Another question is whether Mr. Trump is exercising a new power. In 1971, Richard Nixon imposed blanket 10-per-cent tariffs on imported goods under the Trading with the Enemy Act, a predecessor to IEEPA – although it’s not clear that precedent will matter, since IEEPA employs different language.
Read more here: The best hope for Canada in fighting a trade war with Trump may lie in U.S. courts
China is vowing retaliation after U.S.President Donald Trump slapped an additional 10-per-cent tariff on all goods from the country.
In a statement over the weekend, China’s Ministry of Foreign Affairs said it “firmly deplores and opposes this move and will take necessary countermeasures to defend its legitimate rights and interests.”
Beijing is also pushing back against U.S. claims that it is not doing enough to tackle fentanyl trafficking – pointing to years of co-operation on this issue – and is threatening to file suit against Washington at the World Trade Organization.
Read more here: China to retaliate after Trump fires first measures in trade war
Mexico’s President Claudia Sheinbaum said the US has agreed to pause the start of tariffs on Mexican goods for one month, after talks with her counterpart Donald Trump.YURI CORTEZ/AFP/Getty Images
U.S. President Donald Trump says he has agreed to delay 25-per-cent tariffs on Mexico for one month as the countries negotiate a long term deal on border security.
In a social media post, the U.S. President said Mexican President Claudia Sheinbaum agreed to deploy 10,000 Mexican soldiers to the border “to stop the flow of fentanyl, and illegal migrants into our country.”
“We further agreed to immediately pause the anticipated tariffs for a one month period during which we will have negotiations headed by Secretary of State Marco Rubio, Secretary of Treasury Scott Bessent, and Secretary of Commerce Howard Lutnick, and high-level Representatives of Mexico.”
Mr. Trump added: “I look forward to participating in those negotiations, with President Sheinbaum, as we attempt to achieve a ‘deal’ between our two Countries.”
Posting on X, Ms. Sheinbaum said she had a “good conversation with President Trump with great respect for our relationship and sovereignty” and confirmed Mexico will immediately reinforce the northern border The United States has also committed to working to prevent the trafficking of high-powered weapons to Mexico, she said.
The tariffs against Canada are set to take effect on Tuesday.
Conrad Black, who President Donald Trump pardoned in his first term, has offered some words of advice to Prime Minister Justin Trudeau and his cabinet as Canada faces a trade war with the U.S.
“If someone in the beleaguered Liberal cabinet, with the authority to do so, called up the president and proposed two simple things, I suspect the trade war would end overnight,” he said in a post on X.
“Firstly, a modest earmark for stronger and collaborative border security measures (which would both satisfy Trump and redound to our benefit – see the Toronto police’s seizure of 900kg of cocaine two weeks ago, smuggled over the U.S. border, and note the vast majority of illegal firearms on Canadian streets come over the U.S. border).
“Secondly, make good on our long-overdue commitment as a member of NATO to contribute 3% of GDP to defense. Something we should be doing for decades.
“That’s it. My prediction is those two mutually beneficial ‘concessions’ with a bit of finesse would be enough to resolve the issue overnight.
“In my personal experience with Donald Trump, he is a tough negotiator, but I have never known him to reject a fair deal.”
European Council President Antonio Costa, left, greets Ireland’s Prime Minister Micheál Martin as he arrives for an EU summit at the Egmont Palace in Brussels.Nicolas Tucat/The Associated Press
EU leaders have started their summit in Brussels and not surprisingly tariffs have become the main topic of discussion after U.S. President Donald Trump announced plans to slap hefty tariffs on U.S. imports from Europe.
Ireland’s Taoiseach, or Prime Minister, Micheál Martin, has urged caution in any response to the tariffs.
“First of all, we have to see what happens and assess it and measure it, calibrate the impacts, and then develop our response,” he told reporters on his way into the summit.
“But I wouldn’t do anything prematurely right now, until we see what exactly is being proposed, if something is being proposed. What is essential is that the European Union acts as one and will act as one. And I think in unity, there is strength.”
Ireland is among the EU member states that relies heavily on trade with the U.S. In 2023, around 28 per cent of all Irish exports were sold into the U.S.
– Globe Staff
Canada’s main stock index opened lower on Monday as investors dumped risky assets after Ottawa retaliated against U.S. President Donald Trump’s tariffs on imports.
At 9:33 a.m. ET, the Toronto Stock Exchange’s S&P/TSX composite index was down 2.4% at 24,920.36.
The Canadian dollar fell to its lowest level since 2003, trading at US$0.68 compared with US$0.69 on Friday.
Canadian government 10-year bond yields fell 14.8 basis points to 2.917%.
Britain and the European Union are bracing for U.S. President Donald Trump to impose sweeping tariffs on U.S. imports from Europe.
Tariffs “will definitely happen with the European Union,” Mr. Trump said over the weekend. “They don’t take our cars; they don’t take our farm products. They take almost nothing, and we take everything from the millions of cars, tremendous amounts of food and farm products.”
He added that the U.S. had a US$350-billion trade deficit with the EU and that the tariffs would be introduced “pretty soon.” Officials in Britain have also been keen to point out in recent days that the country doesn’t have a trade deficit with the U.S.
Stock markets in Britain and Europe fell sharply Monday morning in response to the rising trade tensions.
Donald Trump is making fresh demands for Ottawa to allow American banks greater latitude to operate north of the border, following the first of two phone calls scheduled with Prime Minister Justin Trudeau on Monday.
“Canada doesn’t even allow U.S. Banks to open or do business there. What’s that all about?” Mr. Trump wrote on Truth Social.
He said he had just spoken with Mr. Trudeau and expects to speak with the Prime Minister again at 3 p.m. Monday.
“Canada has been very abusive of the United States for many years,” he told reporters after arriving back in Washington, D.C. from Florida.
Mr. Trump also accused Canada of being “very tough on oil, on energy. They don’t allow our farm products in, essentially. They don’t allow a lot of things in.
“And we allow everything to come in. It’s been a one-way street.”
Foreign banks, including American institutions, have operated in Canada for many years. The Office of the Superintendent of Financial Institutions currently regulates at least 15 foreign bank subsidiaries in Canada, including Citibank Canada, J.P. Morgan Bank Canada, and UBS Bank Canada.
Read more here: Trump wants U.S. banks in Canada, he says after speaking with Trudeau
Ontario Premier Doug Ford says the province will rip up its $100-million contract with Elon Musk’s SpaceX to deliver high-speed internet to remote areas as part of the response to U.S. tariffs.Peter Power/The Canadian Press
– Jeff Gray and Laura Stone
Ontario Premier Doug Ford says he is cancelling a $100-million provincial contract for rural satellite Internet with Starlink, a company controlled by billionaire Elon Musk, a key supporter of U.S. President Donald Trump.
“Ontario won’t do business with people hell-bent on destroying our economy,” Mr. Ford said in a statement issued Monday by his Progressive Conservative Party re-election campaign.
Mr. Ford also said he was banning all U.S. companies from bidding on Ontario government contracts, until the 25-per-cent U.S. tariffs on Canadian goods being imposed on Tuesday are removed.
“U.S.-based businesses will now lose out on tens of billions of dollars in new revenues,” he said. “They only have President Trump to blame.”
He said the ban means U.S. firms will miss out on any piece of the $30-billion in goods and services the Ontario government and its agencies procure from the private sector each year, as well as any future contracts awarded as part of the province’s planned $200-billion in infrastructure spending over the next decade.
Read more: Ontario to cancel $100-million contract with Elon Musk’s Starlink
Global markets sank on fears that U.S. President Donald Trump’s tariffs on Canada, Mexico and China mark an opening salvo in a global trade war that would curb economic growth internationally.
Wall Street futures tumbled as investors considered what a full-blown trade war might mean to the U.S. economy.
‘Brace for impact’: Economists and market strategists react to trade war as loonie and stocks slide
TSX futures followed sentiment lower. As The Globe reports, the worst shock to global trade in nearly a century is expected to plunge Canada’s economy into recession this year. Companies are scrambling to overhaul their business models, while consumers are being warned to expect higher prices on some food items starting this week.
Meanwhile, the Canadian dollar weakened against its U.S. counterpart.
The day range on the loonie was 67.60 US cents to 68.77 US cents in early trading. The Canadian dollar was down about 2.27 per cent against the greenback over the past month.
The U.S. dollar index, which weighs the greenback against a group of currencies, climbed 0.77 per cent to 109.21.
Canada will hit back at US tariffs with 25 percent levies of its own on select American goods, Prime Minister Justin Trudeau said on February 1.ANDREJ IVANOV/AFP/Getty Images
– Steven Chase and Nathan VanderKlippe
Canada unveiled the details of its first retaliatory barrage in an escalating trade war with the United States as U.S. President Donald Trump told Canadians they could avoid his punitive tariffs if they agree to be annexed as the 51st state.
Canadian officials said Sunday they are applying 25-per-cent retaliatory tariffs to 1,200 categories of American imports from chicken and orange juice to wine, refrigerators and motorcycles starting Tuesday.
The Department of Finance released a full list of products to be targeted in the first round of retaliation, one day after Mr. Trump launched a trade war against Canada.
Prime Minister Justin Trudeau is scheduled to talk to Mr. Trump on Monday. It’s not known who requested the call. On Saturday, Mr. Trudeau told reporters he had not spoken to Mr. Trump since the President had taken office. “Since the inauguration, I’ve been reaching out to speak with Donald Trump. I hope to speak with him some time soon,” the Prime Minister said Saturday.
Ottawa’s target list lays out products that will be hit in the first round of retaliatory tariffs and covers $30-billion worth of American products.
Canada is readying a second, broader round of retaliatory tariffs in 21 days that will affect another $125-billion in American imports.
Read more here: Canada releases list of tariffed items
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MONTREAL — National Bank of Canada says it has completed its acquisition of Canadian Western Bank.
The Montreal-based bank says integration activities will now begin as it looks forward to onboarding CWB clients and employees in the coming months.
National Bank chief executive Laurent Ferreira says the combined organization will provide customers with an expanded product and service offering nationally, while maintaining regional expertise.
National Bank announced an all-stock deal to buy Canadian Western in June last year.
The takeover will see National Bank expand further westward as it takes on CWB’s Alberta and B.C.-focused operations.
CWB common shares are expected to be delisted from the Toronto Stock Exchange as of the close of business on Tuesday.
This report by The Canadian Press was first published Feb. 3, 2025.
Companies in this story: (TSX:NA, TSX:CWB)
The Canadian Press
