Canada is preparing for potential retaliatory tariffs in response to threats from U.S. President-elect Donald Trump to impose tariffs on Canadian imports. A senior government official confirmed Friday that the country is working on a list of U.S. goods to target. Prime Minister Justin Trudeau is focusing on diplomatic efforts to minimize the impact on both nations’ economies.

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• Canada readying countermeasures against Trump’s planned tariffs on Canadian imports, with a focus on U.S. goods.
• Prime Minister Trudeau rejects Trump’s tariff threat as a bluff; emphasizes that Trump intends to act on it.
• Trudeau stresses importance of US-Canada cooperation for mutual prosperity, particularly in trade and border security.
• US tariffs on Canadian imports could have negative effects on both nations’ economies, says Trudeau.
• Canada’s trade with the U.S. is critical, with over 75% of Canadian exports, valued at CAN$592.7 billion, going to the U.S. in 2023.
• Nearly 2 million Canadian jobs depend on trade with the U.S.
• Trump’s tariffs would target immigration and drug smuggling, but could also disrupt major industries.
• Canada’s government assembling a team to prepare for U.S. trade actions and engage with U.S. lawmakers and Trump’s advisers.
• During Trump’s first term, Canada retaliated by imposing tariffs on U.S. products like Florida orange juice and Kentucky bourbon.
• Freeland to lead efforts for Canada to respond to U.S. trade policies, as done during Trump’s earlier administration.