Canadian Minister Warns U.S. of Economic Pain from Trump Tariffs

Canada’s energy minister, Jonathan Wilkinson, warned U.S. lawmakers this week that President-elect Donald Trump’s proposed tariffs on Canada could inflict significant economic pain on Americans. Speaking in Washington, Wilkinson emphasized that such tariffs would lead to higher prices for gas, food, natural gas, and electricity, contradicting Trump’s campaign promises to reduce energy costs.

Trump has threatened 25% tariffs on Canada and other countries, including Mexico and China, raising concerns about whether these are negotiation tactics or a shift in U.S. foreign policy. Despite the risks, Trump’s team insists that past tariffs created jobs and spurred investment without triggering inflation.

In response, Canada has threatened retaliatory tariffs on U.S. goods like orange juice and steel. A trade war could disrupt markets for key sectors like autos, lumber, and oil, potentially driving up costs for consumers.

Wilkinson warned that such measures would only elevate the cost of living in the U.S. without any clear benefit, highlighting that a quarter of U.S. oil comes from Canada. He also noted that U.S. job losses could occur in sectors dependent on Canadian energy, particularly in the Midwest and Gulf states.

The potential impact of Trump's tariffs has sparked concern among U.S. lawmakers. Democrats are pushing for legislative measures to limit the president's authority, arguing that the tariffs would function as a "nationwide sales tax" on consumers.

Wilkinson, who is considering a bid for leadership of Canada's Liberal Party, added that tariffs would damage both countries and that a trade war would ultimately harm U.S. workers, consumers, and businesses.