Donald Trump’s new tariff policies have started another global trade war! First, a 25% tariff was announced on Mexico and Canada, and now Canada has also taken tough action. Ontario has signed government contracts with American companies, which also includes Elon Musk’s Starlink. Apart from this, British Columbia has also decided to boycott US products.

This is not just an economic policy, but a big signal of growing tensions between the US and Canada. In this blog, we will talk about the main highlights, impact and future consequences of the trade war.

🔥 How did the trade war start?

Donald Trump announced on 4 February 2025 that he will impose a 25% tariff on goods imported from Mexico and Canada. He said that this decision has been taken to protect American jobs and stop illegal immigration.

Canada immediately responded to this!

Canadian PM Justin Trudeau said that he will impose the same 25% tariff on America as well.

Ontario Premier Doug Ford decided to cancel contracts with US companies.

British Columbia announced a plan to boycott US products.

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