Canada PM says US tariffs to ‘fundamentally change’ global trade

(COMBO) This combination of pictures created on March 12, 2025 shows Mark Carney, Canadian Prime Minister, in Montreal, Canada, on February 25, 2025 and US President Donald Trump at the Palm Beach International Airport in West Palm Beach, Florida on February 16, 2025 (Photo by ANDREJ IVANOV and ROBERTO SCHMIDT / AFP)

OTTAWA, Canada — Canadian Prime Minister Mark Carney on Wednesday vowed to “fight” against US President Donald Trump’s sweeping tariffs, which he warned will “fundamentally change the global trading system.”

Trump’s unveiling of 10 percent tariffs on imports from around the world and harsh additional levies on key trading partners ignited global anger, but for Canada the impact of the latest announcement was limited.

Previously announced US levies on Canadian steel and aluminum remain in place. Canada may also be hit hard by Trump’s auto sector tariffs.

But America’s northern neighbor and largest trading partner was not singled out for additional tariffs Wednesday, and Canadian goods compliant with an existing North American free trade agreement appear exempt from new levies for now.

Carney noted that Trump’s latest announcement “preserved a number of important elements of our relationship, the commercial relationship between Canada and the United States.”

The prime minister, who replaced Justin Trudeau last month, said Trump’s trade war will “negatively” impact the US economy and will “directly affect millions of Canadians.”

READ: Trump announces sweeping new tariffs to promote US manufacturing

Ready to fight

“We are going to fight these tariffs with counter measures. We are going to protect our workers,” Carney said in Ottawa.

“In a crisis it is important to come together and it is essential to act with purpose and with force and that is what we will do,” he added.

Carney, a wealthy former investment banker who previously led the Bank of Canada and the Bank of England, has called a general election for April 28.

Last week in a call with Trump, the pair agreed to discuss the future of bilateral trade after the election.

Polls currently project Carney’s Liberal Party will win a majority.

That would mark a stunning turnaround for a party that was badly trailing the opposition Conservatives in polls at the start of the year.

Other reactions around the world

READ: Explainer: Key details on Trump’s market-shaking tariffs

China

Beijing said it “firmly opposes” the new tariffs on its exports, and vowed “countermeasures to safeguard its own rights and interests”.

US tariffs “do not comply with international trade rules and seriously harm the legitimate rights and interests of the relevant parties”, the Commerce Ministry said.

Germany

The German Automotive Industry Association (VDA) said the tariffs would “only create losers”.

“The EU is now called upon to act together and with necessary force, while continuing to signal its willingness to negotiate,” the VDA said.

The German chemical industry, which counts the United States as its largest export market, urged the EU to “keep a cool head”, stressing “an escalation would only worsen the damage”.

Japan

After being hit with a 24 percent US levy on its exports, Japan’s trade minister Yoji Muto criticised the measure.

“The unilateral tariff measures taken by the US are extremely regrettable, and I have again strongly urged (Washington) not to apply them to Japan,” he said.

Japan’s chief cabinet secretary Yoshimasa Hayashi told reporters the tariffs may contravene World Trade Organisation (WTO) rules and the pair’s trade treaty.

UK

The UK will “remain calm and committed” to sealing an economic deal with the United States which could help “mitigate” a 10 percent tariff imposed on British exports to the United States, business minister Jonathan Reynolds said.

He added, though, that “nothing is off the table,” stating: “We have a range of tools at our disposal and we will not hesitate to act.”

Italy

Italian Prime Minister Giorgia Meloni criticised the new US tariffs on imports from the EU and urged a deal, warning a trade war would only weaken the West.

“The introduction by the US of tariffs towards the EU is a measure that I consider wrong and that does not suit either party,” she said.

“We will do everything we can to work for a deal with the United States, aiming to prevent a trade war that would inevitably weaken the West in favour of other global actors.”

Brazil

Brazil’s Congress approved a so-called “Economic Reciprocity Law” allowing the executive to respond to the 10 percent tariffs on exports from Latin America’s biggest economy.

The law was approved unanimously by the House of Representatives after receiving the Senate’s green light.

The South American powerhouse is the second-largest exporter of steel to the United States after Canada, shipping four million tonnes of the metal in 2024.

Australia

Australian Prime Minister Anthony Albanese said the new tariffs were “not the act of a friend” and will hurt the close allies’ relationship.

“These tariffs are not unexpected, but let me be clear: they are totally unwarranted,” he said.

Switzerland

After Switzerland was hit with 31 percent tariffs, President Karin Keller-Sutter said the government would quickly decide what to do next.

“The country’s long-term economic interests are the priority. Respect for international law and free trade are fundamental,” she said.

Ireland

Prime Minister Micheal Martin said he deeply regretted the 20 percent tariffs imposed on exports from the EU.

The Irish government would now “reflect” with EU partners on the next steps, but “any action should be proportionate, aimed at defending the interests of our businesses, workers and citizens”, he said.

Thailand

Prime Minister Paetongtarn Shinawatra said the government had a “strong plan” to handle a 36 percent levy and hopes to negotiate a reduction, saying the government would take steps to mitigate the impact.

Denmark

Danish Foreign Minister Lars Lokke Rasmussen said the new measures threatened global prosperity.

“Global trade brought us to a better place: in a generation the world has become richer, extreme poverty has been reduced, child mortality has declined and we all live longer,” he said.

“Saddened to see all that jeopardised due to an — for Europe — unwanted trade war.”

Colombia

Colombian President Gustavo Petro said Trump had made a wrong move in imposing the sweeping tariffs.

“The US government now believes that by raising tariffs on its imports in general, it can increase its own production, wealth, and employment; in my opinion, this could be a big mistake,” he said.