Trump tariffs ‘an act of economic warfare’ says Canada’s Chrystia Freeland

Chrystia Freeland, the former Canadian deputy prime minister, said Sunday that Canada will not back down against President Donald Trump’s recent tariffs on the long-time trade partner, calling the president’s actions a “betrayal.”

Canada doesn’t want conflict with the United States, she said, but will not yield to President Donald Trump’s new tariffs on the long-time trade partner and close ally throughout history.

“This action is utter madness,” Freeland said on CNN’s “Fareed Zakaria GPS.” “It is a betrayal of America’s closest friend — your ally, your neighbor, your best partner in the whole world. It is an act of economic warfare.”

Freeland is the primary contender to replace Canadian Prime Minister Justin Trudeau, who announced his resignation in January. Freeland previously served as Trudeau’s finance chief and deputy prime minister before abruptly resigning in December.

Trump announced sweeping tariffs on Canada, Mexico and China on Saturday — setting the stage for a trade war that economists expect to increase inflation and hinder economic growth across North America. The tariffs on Canadian and Mexican goods will be 25 percent, with only 10 percent on Canadian energy. The United States imported over $400 billion worth of oil, autos, auto parts and other goods from Canada in 2024.

On Saturday night, Trudeau announced that Canada will retaliate against Trump’s tariffs with its own 25 percent tariffs on C$30 billion of U.S goods as of Tuesday. An additional C$125 billion in three weeks could follow, he added.

When asked about Freeland urging Canadians to boycott American goods, she said that it is “already happening across the country.”

“The path the U.S. is on right now is a lose-lose path and at the end of the day, you cannot defy the laws of economics,” Freeland told Zakaria.

Freeland also expressed frustration with Trump’s continued insinuations that Canada should join the U.S. as the 51st state, including in a Sunday post on the social media platform Truth Social. Freeland called his remarks “a direct attack on our sovereignty.”

She added: “What the world is going to see from Canada is total strength, total unity, and a very smart surgical strategic approach.”