Canadian Prime Minister Justin Trudeau visited Donald Trump’s resort in Florida to meet with the US President-elect, days after Trump threatened to impose tariffs on Canadian imports over border concerns.
Trudeau – whose agenda did not include a scheduled visit to Florida – was seen leaving a hotel in West Palm Beach, Florida, heading to the Mar-a-Lago resort owned by Trump, according to Reuters.
A Canadian government source confirmed to Agence France-Presse that Trudeau had dinner with Trump at the Mar-a-Lago resort, his residence.
On Monday, Trump threatened to impose 25% tariffs on imports from Canada and Mexico until the two countries take tough measures against the drug trade, especially fentanyl, and against migrants crossing the border.
Officials from Mexico, Canada and China, along with major industry groups, warned that the steep tariffs threatened by Trump would hurt the economies of all countries involved, cause inflation to rise and hurt the labor market.
Any blow to the Canadian economy would increase the difficulties facing Trudeau at a time when his popularity has declined due to the slowdown in the economy and high costs of living over the past few years.
Expected Canadian actions
Canada confirmed that it is now considering imposing additional customs duties on some American products in response to any measures by Washington, according to a government source.
More than three-quarters of Canadian exports by value ($592 billion CAD/$422.5 billion) went to the United States in 2023.
In terms of jobs, about two million people in Canada, out of a total population of approximately 41 million, depend on exports for their livelihood.
Speaking to the press on Friday, Trudeau hinted that he had no doubts about Trump’s intention to implement the increase he announced when he took office.
“When Donald Trump makes statements like this, he intends to carry them out,” he said.
During Trump’s first term, the United States imposed tariffs on Canada of 25% on steel imports and 10% on aluminum imports, and Ottawa responded, targeting some American products.
Trump made the issue of customs duties a pillar of his economic policy during his election campaign, ignoring the free trade agreement signed between the United States, Canada, and Mexico during his first term.
What about Mexico?
On Wednesday, Trump discussed with Mexican President Claudia Sheinbaum during a phone call that was the subject of mixed interpretations.
While Trump asserted that the President of Mexico had agreed to “stop illegal immigration” to the United States, Sheinbaum disagreed, noting that her country’s position was not to “close the border.”
It, in turn, threatened to impose severe customs duties on American products, warning that this trade war threatens competitiveness and jobs in North America and may spark inflation.
For his part, outgoing President Joe Biden considered that Trump’s plan “will backfire,” stressing that the two neighboring countries are “allies” and “the last thing we need is to start spoiling these relations.”
