Trudeau congratulates Trump on inauguration, president expected to hold off on tariffs
By Spencer Van Dyk
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OTTAWA (CTV Network) — Canadian Prime Minister Justin Trudeau congratulated U.S. President Donald Trump on his inauguration today, lauding the Canada-U.S. economic partnership as “the world’s most successful.”
“We are each other’s largest trade partners, with a relationship that creates millions of jobs, attracts billions in investment into the continent, and keeps our people safe,” Trudeau wrote in a statement Monday.
“Canada is strengthening this mutually beneficial relationship,” the prime minister also wrote, adding he looks forward to working with Trump during the latter’s second term. “We’re making massive investments to bolster cross-border trade, reinforce our supply chains, and create jobs on both sides of the border.”
Late last November, Trump wrote in a social media post he’d implement a 25 per cent tariff on all imports from Canada and Mexico as one of “many” executive orders on day one of his second term.
The threat prompted Canada to mount a coordinated response to the president, including a rare in-person meeting of prime minister and premiers. Trudeau also reconvened his cabinet committee on Canada-U.S. relations, and struck a new Canada-U.S. relations council, comprising 18 prominent Canadians.
The Washington Post reported Monday morning Trump plans to hold off on implementing the tariffs. He will instead issue a “broad memorandum” directing federal agencies to study U.S. trade policies — including outlining any trade deficits — and singling out America’s relationship with China, Mexico, and Canada for scrutiny.
“I will immediately begin the overhaul of our trade system to protect American workers and families instead of taxing our citizens to enrich other countries, we will tariff and tax foreign countries to enrich our citizens,” Trump said in his inauguration speech on Monday.
“For this purpose, we are establishing the External Revenue Service to collect all tariffs, duties and revenues, it will be massive amounts of money pouring into our treasury coming from foreign sources,” he added.
Trudeau’s cabinet, meanwhile, has gathered in Montebello, Que., and is set to meet this afternoon to discuss its response to Trump.
The Canadian government has been readying a three-phased response to roll out as early as inauguration day, depending on whether Trump followed through on his previous threats.
A senior government source tells CTV News they believe Trump’s plan to study U.S. trade relationships could earn Canada up to six months of tariff reprieve.
In a brief statement to reporters on his way into the meeting space on Monday, Trudeau said he was “very happy to be in Montebello,” and to “dig in on issues facing Canadians.” He did not mention Trump specifically.
With files from CTV News Senior Political Correspondent Mike Le Couteur
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