The Globe and Mail reports that the federal government is preparing a list of United States products which it will tax if president-elect Donald Trump imposes a 25 per cent tariff on all Canadian exports to the U.S.
On that list are orange juice, ceramics such as toilets and sinks, and some steel products, the Globe and Mail said it learned from an un-named “senior government source”.
The Globe reported earlier reported that the federal government is considering an early release of the full proposed target list to alert American businesses to the extra costs they would bear should the United States start a trade war with Canada.
Trump said he will impose tariffs if Canada fails to stop illegal border crossings of drugs and people.
Ottawa has announced $1.3-billion in new border security spending over six years but Trump has so far not signalled he’s satisfied. On Tuesday he said he still plans to impose substantial tariffs on Canada – while suggesting he could compel the country with “economic force” to join the United States.
Other possible targets for retaliatory Canadian tariffs include American glassware, flowers and certain plastics, the source said.
Ottawa is trying to carefully select American goods in a manner that minimizes, where possible, the impact on Canadian consumers but maximizes political pain for U.S. decision-makers.
In 2018, for instance, Ottawa chose products that were manufactured in districts home to leaders in the U.S. Congress. One example was Kentucky whiskey to catch the attention of Senate Republican leader Mitch McConnell.
The Canadian Meat Council has been in Washington to meet with politicians whose constituents would suffer if Trump imposes tariffs on Canadian exports of weaner pigs, feeder cattle, pork and beef.
