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'Viable' chance for Ukraine ceasefire thanks to Trump: UK PM
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Vance visits US troops during UK trip
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Premier League has no say on delay over Man City charges, says chief exec
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Trump names Stallone, Strait among Kennedy Center honorees
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Israeli military says approved plan for new Gaza offensive
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Europeans urge Trump to push for Ukraine ceasefire in Putin summit
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Stocks extend gains on US rate-cut bets
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Venus Williams receives wild card for US Open singles
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Massive fire burns on mountain near western Canada city
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Plastic pollution plague blights Asia
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Typhoon Podul pummels Taiwan, heads towards China
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Russia in major Ukraine advance as Europe braces for Trump-Putin meet
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Stock markets extend gains on growing US rate cut hopes
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Typhoon Podul pummels Taiwan, heads towards mainland
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In heatwave, Romans turn to vintage snow cones to stay cool
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Russia in major Ukraine advance ahead of Trump-Putin meet in Alaska
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Ankara, Damascus top diplomats warn Israel over Syria action
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Deadlocked plastics treaty talks 'at cliff's edge'
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Stock markets rise on growing US rate cut hopes
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New cancer plan urged as survival improvements in England slow
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Japanese star convicted of indecent assault in Hong Kong
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Thousands battle Greece fires as heatwave bakes Europe
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Woodman-Wickliffe lines up 'one last ride' for Black Ferns at World Cup
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Bournemouth splash out on Diakite as Zabarnyi replacement
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Renowned Egyptian novelist Sonallah Ibrahim dies at 88
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Israel military says approved plan for new Gaza offensive
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Romero replaces Son as Spurs captain
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150 species saved in England, but 'time running out' to halt decline
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Man Utd in 'no man's land' due to lack of plan, says Rashford
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Musk clashes with Altman after accusing App Store of favoring OpenAI
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Zelensky, European leaders hope to sway Trump before Putin summit
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Nepal waives climbing fees for 97 mountain peaks
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European satellite to step up monitoring of extreme weather
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Swiss pilot surpasses solar-powered plane altitude record
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Typhoon Podul pummels Taiwan
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Markets rise on growing rate cut hopes
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Czech film takes 'conspiracy nuts' on Ukraine war tour
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Test cricket needs quality not quantity to stay alive: Australia chief
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Spanish coach Riveiro lays down the law for Ahly stars
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Mali club hope motorbikes can help drive for CAF Cup glory
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Scientists unearth 'cute' but fearsome ancient whale
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European powers tell UN they are ready to reimpose Iran sanctions
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Typhoon Podul hits Taiwan
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South Korea prosecutors raid party HQ after ex-first lady arrested
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Five key things about heatwaves in Europe
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For Trump, Putin summit presents the ultimate test of dealmaking
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Trump and Putin: a strained relationship
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Fortnite developer claims win against Apple and Google
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Palestinian mother 'destroyed' after image used to deny Gaza starvation
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Soft US inflation boosts Asia markets
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Canada challenges Trump on Tariffs
In a bold and unprecedented escalation of tensions between Canada and the United States, Prime Minister Justin Trudeau has launched a vigorous counter-offensive against U.S. President Donald Trump’s imposition of sweeping tariffs on Canadian goods. This retaliatory stance marks a significant shift in the historically amicable relationship between the two North American neighbours, igniting what Trudeau has termed a "trade war" that threatens to disrupt one of the world’s most integrated economic partnerships.
The genesis of this dispute lies in Trump’s decision, enacted on February 1, 2025, to impose a 25 per cent tariff on virtually all Canadian exports to the United States, alongside a 10 per cent levy on Canadian energy products. The White House justified these measures as a response to alleged failures by Canada to curb the flow of fentanyl across the border—a claim Trudeau has dismissed as "completely bogus, completely unjustified, completely false." Official U.S. data supports Canada’s position, revealing that less than 1 per cent of fentanyl intercepted at the U.S. border originates from its northern neighbour.
In response, Trudeau announced retaliatory tariffs on March 4, targeting C$155 billion (approximately US$107 billion) worth of American goods. The first phase, effective immediately, imposes a 25 per cent tariff on C$30 billion of U.S. imports, including consumer staples such as orange juice, peanut butter, and coffee. A second tranche, set to apply to C$125 billion of additional goods—ranging from passenger vehicles to steel products—will take effect within 21 days unless the U.S. reverses its policy. "We don’t want to be here, we didn’t ask for this, but we will not back down in standing up for Canadians," Trudeau declared in a press conference from Parliament Hill.
The Canadian leader has not minced words in his criticism of Trump’s strategy. Addressing the U.S. President directly, Trudeau remarked, "Even though you’re a very smart guy, this is a very dumb thing to do," echoing a Wall Street Journal editorial that branded the tariffs "the dumbest trade war in history." He further accused Trump of pursuing a deliberate agenda to destabilise Canada’s economy, suggesting that the ultimate aim might be to weaken the nation sufficiently to facilitate annexation—a notion Trump has repeatedly floated, mockingly referring to Trudeau as the "governor" of a hypothetical 51st state.
This tariff tit-for-tat has galvanised Canadian resolve across political and regional lines. Ontario Premier Doug Ford, a key figure in Canada’s economic heartland, has vowed to "make sure Americans feel pain," announcing a ban on U.S.-made alcohol in provincial liquor stores and threatening a 25 per cent surcharge on electricity exports to New York, Michigan, and Minnesota if U.S. tariffs persist. Quebec and Ontario have joined the fray by pulling American products from their shelves, while Conservative Leader Pierre Poilievre has urged a "Canada First" approach, advocating dollar-for-dollar retaliation to protect Canadian workers and businesses.
The economic stakes are staggering. Canada exports roughly 75 per cent of its goods to the United States, including C$75 billion in automotive products annually. Economists warn that a protracted trade war could plunge Canada into recession, with the Bank of Canada predicting "severe" and potentially irreversible consequences. Yet the fallout is not unilateral: American consumers face higher prices for groceries, fuel, and vehicles, while U.S. businesses reliant on Canadian materials brace for supply chain disruptions.
Trudeau has sought to rally national unity, urging Canadians to "redouble their efforts" in supporting domestic industries and rejecting American goods. "Canadians are hurt, angry, and frustrated," he acknowledged, pointing to symbolic acts of defiance such as the booing of the U.S. national anthem at sporting events. Yet he remains steadfast: "We are Canadians. We are going to fight, and we are going to win."
Internationally, Canada plans to challenge the tariffs through the World Trade Organization and the U.S.-Mexico-Canada Agreement (USMCA), a pact Trump himself negotiated during his first term. Meanwhile, Trump has doubled down, warning via social media that any Canadian retaliation will be met with "immediate reciprocal tariffs of the same size." This brinkmanship has drawn parallels to a broader global trade conflict, with Mexico and China also imposing countermeasures against U.S. tariffs of 25 per cent and 20 per cent, respectively.
As Trudeau prepares to step down later this month—his Liberal Party set to select a new leader on March 23—he leaves behind a nation galvanised by adversity. His successor will inherit a complex battle, one that tests Canada’s economic resilience and its sovereignty against an unpredictable adversary. For now, the message from Ottawa is clear: Canada will not yield. As Trudeau put it, "This is the time to stand together. Canada remains the best country in the world."

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