Canadian Prime Minister Marc Carney stated that U.S. President Donald Trump's tariffs on imported automobiles are a "direct attack" on Canada, and pointed out that the trade war is harming American interests, with U.S. consumer confidence having fallen to its lowest point in years.
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03-30, 2025Trump had earlier announced a 25% tariff on imported cars, emphasizing that "this is permanent." In response, Carney said, "This is a very direct attack." He also stated, "We will defend our workers, we will defend our companies, we will defend our country."
Carney said he needed to understand the details of Trump's executive order before taking retaliatory measures. He believes this move is unreasonable and said he would leave the campaign trail to travel to Ottawa on Thursday to chair a special cabinet committee meeting on U.S.-Canada relations. Previously, Carney announced a CAD 2.23 billion "strategic response fund" aimed at protecting Canadian auto industry jobs affected by Trump's tariffs.
Automobiles are Canada's second-largest export, and Carney pointed out that the auto industry directly employs 125,000 Canadians, with nearly 500,000 more working in related industries. "Canada will stand with auto workers," he said. Trump had previously granted a one-month tariff exemption to U.S. automakers importing goods from Mexico and Canada. However, the President has dragged the United States into a global trade war, and the constant emergence and discontinuation of new tariffs are exacerbating uncertainty.
The Conference Board reported on Tuesday that its U.S. Consumer Confidence Index fell 7.2 points to 92.9 in March, the fourth consecutive monthly decline and the lowest reading since January 2021. "His trade war is hurting American consumers and workers, and it's going to do even more damage. I see American consumer confidence is at its lowest point in years," Carney said earlier while campaigning in Windsor, Ontario, Canada, where elections will be held on April 28.
Raising auto import tariffs starting in April means automakers could face higher costs and lower sales. Trump had previously imposed 25% tariffs on Canadian steel and aluminum and threatened to impose comprehensive tariffs on all Canadian products, as well as all of America's trading partners, on April 2. "He wants to crush us so the U.S. can have us," Carney said. "But that will never happen because we care not only about ourselves, but also about each other."
Carney, the politician who has twice served as central bank governor, made the remarks against the backdrop of the Ambassador Bridge, considered the busiest border crossing between the United States and Canada, handling 25% of trade between the two countries. It plays a particularly important role in the automotive manufacturing industry. Carney said the bridge carries CAD 222 billion worth of goods annually, and CAD 636 billion worth of goods daily. "Now, those numbers, and the jobs and paychecks that depend on those numbers, are being called into question," Carney said. "The relationship between Canada and the United States has changed. We didn't change it."
In the auto industry, parts may cross the Canadian and U.S. border multiple times before being fully assembled in Ontario or Michigan. Ontario Premier Doug Ford said that if the tariffs continue, auto plants on both sides of the border will close simultaneously. Ford said, "The President is calling it Liberation Day. I'm calling it Termination Day for American workers. I know President Trump likes to tell people 'You're fired!', but I don't think he meant American auto workers when he said that."
Trump has already launched a trade war against his northern neighbor and continues to call for Canada to become the 51st state of the United States, a stance that has angered Canadians. The new Prime Minister, who was sworn in on March 14, has not yet spoken with Trump by phone. It is unusual for so much time to pass without a call between the U.S. President and Canada's new leader. "Given the actions he's taken, it's appropriate that the President and I have a conversation. I'm confident that will happen soon," Carney said.
