Canada set to unveil retaliatory tariffs, threatens to cut electricity to US

WASHINGTON — Canada is poised to roll out a batch of retaliatory tariffs in response to President Trump’s 50% duty on $20 billion worth of goods after trade talks between the two North American neighbors broke down last week.Canadian Prime Minister Mark Carney, who described his country as being “at war” with Trump on trade, vowed to meet the president’s tariffs “dollar for dollar” with retaliatory duties that would take effect on Sept.8.

Carney, however, has also indicated that Canada may take a more targeted approach.Meanwhile, Ontario Premier Doug Ford, who runs Canada’s most populous province, has threatened to cut off electricity and critical minerals from the US in a bid to make the trade dispute as politically painful for Washington as possible.“We power 1.5 million homes and businesses,” Ford declared in an interview with the Associated Press.“Everything’s on the table.

I’ll do whatever it takes.”Critical minerals are important for US national security and manufacturing.In particular, the Pentagon has sought more secure sources of minerals used in military aircraft, missiles, munitions and electronics as the US tries to reduce reliance on China.Trump ripped into Ford in response and floated the possibility of renaming Lake Ontario “Lake of America.”The expected rollout of Canada’s retaliatory tariffs comes as Republicans grapple with crucial Senate races in Michigan, Maine, Ohio, and Alaska, all of which have significant trade with Canada.Some Republicans in those contests, such as Sen.

Susan Collins (R-Maine), have expressed concerns about the escalating trade war with Canada so close to the midterm elections.The Trump administration warned that the US will respond to any retaliatory tariffs Canada unveils.

The president has demanded Canada “fall in line” or face repercussions “far WORSE” than the current duties.On Monday, President Trump threatened to impose 50% new tariffs on auto parts, cars, trucks, and stee...