26 sources·Politics

Trump Jokes About Canada Amid Tariff Tensions; Economic Fallout Looms

President-elect Trump joked about Canada becoming a state amid serious tariff threats impacting economies of both nations during a recent meeting with Prime Minister Trudeau.

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Updated: Dec 4th, 2024, 2:53 PM ET

Summary

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At a dinner with Prime Minister Trudeau, President-elect Trump humorously suggested Canada might become the 51st U.S. state, despite announcing a 25% tariff on imports from Canada and Mexico. This proposed tariff is in response to concerns over illegal immigration and drug trafficking. Goldman Sachs warns this strategy may harm Canadian companies, especially Canada Goose and Kontoor Brands. Both nations are under pressure; Canada plans to enhance border security, while tensions rise with Mexico’s president asserting her country’s cultural superiority. Trudeau is focusing on differentiating Canada’s border issues from those concerning Mexico.

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