U.S. President Donald Trump will hit Canada with 25 per cent tariffs on Tuesday, with a lower 10 per cent duty for energy, provincial government sources say — a hostile move that has drawn sharp criticism from Canadian business and labour leaders who warn the move will harm workers, businesses, and families on both sides of the border
The tariffs have been condemned by Unifor, Canada’s largest private-sector union, and the Canadian Chamber of Commerce as a threat to the deeply integrated economies of both countries.
“With the implementation of these tariffs, President Trump has declared a trade war with Canada and with Canadian workers,” said Unifor National President Lana Payne. “Trump’s decision to go to battle with America’s largest trading partner will hurt working people on both sides of the border and inflict real economic damage to both countries.”
Payne, who is also a member of the Prime Minister’s Council on Canada-U.S. Relations, said the move has united Canadians in defending jobs and building a more resilient economy. “I believe Trump has underestimated Canadians. He has failed to realize that he has enraged and united an entire nation that is ready to fight to defend every last job in this country,” she said.
The Canadian Chamber of Commerce echoed these concerns, calling the tariffs “profoundly disturbing” and warning of immediate consequences for Canadian and American livelihoods. “Tariffs will drastically increase the cost of everything for everyone: every day these tariffs are in place hurts families, communities, and businesses,” said Candace Laing, president and CEO of the Canadian Chamber of Commerce.
Laing emphasized the importance of the Canada-U.S. trade relationship, noting that Canada has been a safe, secure, and reliable trading partner for decades. “Whether it’s our crude oil that is practically perfect for the North American autos we build together, the potash that supports the agriculture that feeds America, or the critical minerals and other inputs that go into everyday essentials like washing machines and refrigerators, America needs Canada,” she said.
She added that the two countries’ supply chains are so deeply integrated that disrupting them would harm businesses and consumers on both sides of the border. “Our supply chains are integrated not simply because we get along as neighbours, but because it makes sense financially for businesses and consumers on both sides of the border,” Laing said.
Both Unifor and the Canadian Chamber of Commerce are urging the Canadian government to take immediate action to mitigate the impact of the tariffs. Unifor has called for measures such as Buy Canadian policies, stronger procurement strategies to support domestic industries, and enhanced income supports for workers, including improved access to Employment Insurance benefits and emergency relief programs.
The Chamber, meanwhile, is advocating for economic resilience through diversification of trade partners and the removal of internal trade barriers. “If we can’t trade south, let’s diversify our trading partners and dismantle unnecessary internal trade barriers to keep goods and services flowing north, east, and west,” Laing said. “A strong, united, and competitive Canadian economy will thrive no matter what gets thrown our way.”
Unifor represents 320,000 workers across Canada’s major economic sectors, while the Canadian Chamber of Commerce is one of the country’s largest business advocacy organizations.
With files from the Canadian Press