VANCOUVER, British Columbia (AP) 鈥� Prime Minister Mark Carney said Thursday that Canada is intensifying negotiations with the United States to reach a comprehensive trade deal but is prepared to respond should President Donald Trump鈥檚 on Canadian goods go into effect.
The new tariffs, announced by Trump on Monday, are scheduled to come into effect Aug. 19.
鈥淚f these tariffs, or other measures come into force, there鈥檚 a full range of things that we can do in that regard,鈥� Ca with Canada鈥檚 premiers and territorial leaders in Charletown, Prince Edward Island.
Carney said 鈥渆verything鈥檚 on the table鈥� if an agreement can鈥檛 be reached before the tariffs kick in.
鈥淲e don鈥檛 need to respond in advance,鈥� he said. 鈥淚n fact, I think it would be counterproductive at this stage to respond in advance.鈥�
The new tariffs cover a wide range of goods, including honey, liquor, cement, dairy products, some wood products, hockey sticks and other items. They exclude energy products, potash, fish and critical minerals, but would include goods previously protected from import taxes by the . That 2020 trade pact was not renewed by the U.S., triggering a new set of negotiations that could run until 2036.
Carney said the tariff threat could be a negotiation tactic by the U.S.
鈥淲e鈥檝e seen a series of trade negations that the U.S. has undertaken, and normally there鈥檚 a deadline,鈥� he said. 鈥淣ormally there鈥檚 an outsized tariff associated with that deadline.鈥�
Carney believes there is a willingness among U.S. officials to reach a trade deal.
Prince Edward Island Premier Rob Lantz said the provinces and federal government remain united.
鈥淲e need to have a united Team Canada approach,鈥� he said. 鈥淐anada is at it鈥檚 best when provinces and territories and the federal government work together.”
Carney said Canada will continue to build and .
鈥淚n all circumstances, irrespective of the outcome of these negotiations, Canada will do whatever it takes to build our strength at home and to support Canadian families, workers, our farmers, our businesses,鈥� he said.
The country is also looking to build trade relationships with countries other than the U.S.
鈥淲e鈥檙e diversifying our partnerships abroad,鈥� he said.
An analysis by Desjardins, one of Canada鈥檚 largest financial institutions, says the tariffs will impact about $28 billion Canadian ($19.8 billion) worth of annual Canadian exports to the United States. That鈥檚 about 5% of what the U.S. imports from Canada each year.
鈥淏eyond the direct trade effects, heightened uncertainty could dampen business confidence and curb investment plans,鈥� the analysis says.
The Canadian provinces most impacted would be Ontario, Quebec and British Columbia.
Prior to the meeting Ontario Premier Doug Ford said Canada needs to show strength.
鈥淲e need a strong plan,鈥� he said. 鈥淏e on offense. Put everything on the table.鈥�
Ford was asked if he would put a surcharge on electrically his province sells to the U.S.
鈥淚t depends where we go with the U.S.,鈥� he said. 鈥淥ntario has the most to lose right now. I will do everything to protect the people of Ontario.鈥�
Later Thursday, the Trump administration included Canada among the dozens of countries it鈥檚 hitting with tariffs citing forced labor in supply chains.
In a statement, Dominic LeBlanc, the Canada-U.S. Trade Minister, said the move 鈥渋s not unexpected.鈥�
LeBlanc said Canada shares the U.S.鈥檚 objective of ensuring that goods produced with forced labor don鈥檛 enter the supply chain.
鈥淲e will continue engaging constructively with the United States on this matter, as well as other outstanding issues, over the coming weeks to the mutual benefit of our citizens,鈥� LeBlanc said.
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