If the United States re-imposes some tariffs on Canadian aluminum-based products, Canada will respond by applying retaliatory tariffs on American products, a government source said Thursday.
"We are going to react very similarly to the last [time new tariffs were imposed]," said a Canadian government source heard by Reuters, speaking shortly before President Donald Trump confirmed that he was imposing punitive measures against Canada.
In June 2018, after Trump announced sanctions against imports of Canadian steel and aluminum products, Canada imposed punitive measures that affected $ 16,6 billion (about 12,5 billion euros) in US products. Americans.
Trump decided to lift sanctions in 2019 in what was seen as an attempt to normalize trade relations with the northern neighbor, a traditional U.S. customer and supplier.
The return of sanctions aims to defend, according to the White House, American production, but companies that use aluminum and Canadian steel, which are cheaper in some cases, do not seem to have been satisfied with the decision of the Trump administration.
Analysts say that this new 'round' of sanctions against Canada must be understood in the light of the election campaign underway in the United States. Trump won previous elections a lot because of his defensive view of international trade, and is trying to reuse the same type of arguments at a time when re-election appears to be increasingly difficult.
Canada does not seem to be available to handle the side effects of the campaign and, if it does have to impose retaliation, there is no indication that Trump's motivations will be hit.