Source: The White House/YT

U.S. President Donald Trump has threatened to increase tariffs on Canadian imports, accusing Ottawa of playing a “game” by responding with retaliatory measures. 

“Canada’s been very abusive of the United States for many years,” Trump told reporters on Sunday evening. “They don’t allow our banks, did you know that? Canada does not allow banks to go in. If you think about it, that’s pretty amazing. If we have a U.S. bank, they don’t allow them to go in.”

Trump’s 25-per-cent across-the-board tariffs, which he promised to impose last fall, came into effect on Saturday. 

The Trudeau government responded by placing retaliatory tariffs on $155 billion of American goods, including alcohol, clothing, appliances, and food products. 

An initial $30 billion in tariffs will begin Tuesday with the remainder being implemented over the following three weeks, which Trudeau said will allow for Canadian businesses to find alternative suppliers.

“Canada’s been 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,” Trump continued. 

“We subsidize Canada to the tune of $200 billion dollars a year and for what? What do we get out of it? We don’t get anything out of it. I love the people of Canada. I disagree with the leadership of Canada and something’s going to happen there. But if they want to play the game, I don’t mind, we can play the game all they want.”

He then went on to say that his negotiations with Mexic0, which the Trump administration has also hit with 25-per-cent tariffs, have been “very good.”

“We’ve had very good talks with them,” he said, reiterating that the U.S. tariffs have been “retaliatory” as a punitive measure for the “millions of people” that “float into our country from Mexico and Canada.”

“We’re not going to allow that,” said Trump.

Trump and Prime Minister Justin Trudeau are meeting Monday to further discuss the issue.

The U.S. president has also cited the smuggling of drugs, particularly fentanyl, from both its northern and southern border as another major incentive for imposing tariffs on Canada and Mexico. 

Trump has indicated the tariffs on Canada will remain in place until Canada resolves its border security and problems with fentanyl trade.

“The extraordinary threat posed by illegal aliens and drugs, including deadly fentanyl, constitutes a national emergency,” the White House said, adding that the tariff will last “until the crisis is alleviated.”

The Canadian government has put $1.3 billion over the next few years  into border security measures since facing the threat of tariffs after Trump won the U.S. election in November.

The government’s plan involves five pillars: slowing the fentanyl trade, providing new tools for law enforcement, improving operational coordination, boosting information-sharing and minimizing the number of migrants crossing into the U.S.

“To detect and address fentanyl and its precursors, we will invest in new technology, tools and human resources,” said Minister of Public Safety Dominic LeBlanc last month.

“Our investments will enable the Canada Border Service Agency to deploy new chemical detection, imaging and artificial intelligence-powered tools as well as new K-9 teams to better detect illegal drugs at ports of entry.”

Canadian officials have repeatedly stated that less than 1 per cent of illegal border crossings and fentanyl flowing into the United States come from Canada, but the message has fallen on deaf ears.

“There is also a growing presence of Mexican cartels operating fentanyl and nitazene synthesis labs in Canada,” the White House said. “A recent study recognized Canada’s heightened domestic production of fentanyl, and its growing footprint within international narcotics distribution.”

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