Since returning to the Oval Office on Jan. 20, United States President Donald Trump has threatened Canada, China, Mexico and the European Union with tariffs on their goods that enter the U.S.
Shaun Narine is a political science professor at St. Thomas University. Despite Trump’s multiple delays on enacting the tariffs, he said that the threats are still “real.”
“Canadians are right to be concerned, they’re right to be scared. I think Trump is serious about wanting to annex Canada,” he said. “All these things are real. So we’ve got to be prepared for the possibility that this pressure will continue, because the ulterior motive is causing an economic collapse.”
A report published by the U.S. Census Bureau and the U.S. Bureau of Economic Analysis on March 6 showcased that Canada and Mexico were still the two main trade partners with the U.S. in January 2025.
Trump has largely stated the tariffs on the two North American countries would be implemented as a retaliation for migration and fentanyl trafficking.
Trump’s initial proposal was that tariffs would be implemented on Feb. 4. Following a 30-day extension after negotiations with then Prime Minister Justin Trudeau, the incoming tariffs were set to be instated on March 4.
Currently there are 25 per cent tariffs being imposed on steel and aluminium exports from Canada into the U.S. that were implemented on March 12. Canada put forth retaliatory tariffs on American steel and aluminum imports in response.
“I think Trump has a very general kind of plan that he’s trying to implement,” said Narine. “I don’t think the plan is workable and I don’t think that it’s something he understands particularly well.”
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Narine explained the tariffs threatened by Trump are a “destabilizing force in the world economy” and that Canada is being “bullied” by our bordering neighbours in what he believes is an effort to “de-industrialize” the nation.
Trump has since put another delay on remaining Canadian goods until April 2, which he said will include “reciprocal tariffs” on taxed U.S. imports.
Mark Carney, who officially became Canada’s 24th prime minister on Mar. 14, said that his government would “keep our tariffs on until the Americans show us respect.”
Carney made the claim after winning the Liberal Party leadership race on March 9.
Related: Mark Carney announced next Liberal leader, prime minister
According to Narine, this is a move “that isn’t going to make that much difference.”
“Trump is calculating that the American market is much bigger than the Canadian market and it can absorb these losses much more easily than Canada can absorb losing access to the American market,” he said. “Obviously, he’s right about that.”
World Economics estimates Canada’s 2024 Gross Domestic Product (GDP) at $2.515 trillion, compared to the U.S’s estimated GDP of $26.889 trillion.
“I think there are ways to fight this, but we can’t just focus on hurting the U.S. We have to focus on how we make ourselves more durable and less vulnerable,” said Narine.
There was a meeting between Canadian and U.S. officials on March 13 in an attempt to repair the two G7 nations trading relationship.
Premier of Ontario Doug Ford, coming off a fresh provincial election win, said that it was the “best meeting” he has had in the U.S., which he characterized as being “extremely productive.”
There is another meeting scheduled between the officials next week. Narine believes that moving forward in negotiations, Canada needs to “play our cards very close to the chest.”
“You need to basically make an arrangement now that will help you through the short term while keeping your eye on the long term ball, which is reducing our dependence on the United States,” he said.
Overall, Narine believes that the effects of this “trade war” will be impactful on the relations with the U.S. moving forward.
“It should be clear to Canadians by now that our relationship with the United States has changed permanently,” he said. “We have been given a painful wakeup call.”
