Canada is preparing for the consequences of President Donald Trump’s escalating trade war, with economists warning of potential spikes in grocery prices, job losses, and even a potential recession if threatened tariffs take effect. The United States is Canada’s largest trading partner, representing nearly two-thirds of Canadian imports and receiving over 70% of its exports. However, under Trump’s new “liberation day” tariffs – 25% on Canadian goods and 10% on energy – Ottawa now faces an economic blow that could have widespread impacts on key provinces, industries, and its national election campaign. Trump has repeatedly criticized Canada’s trade imbalance with the U.S. to justify the sweeping tariffs, announcing this as the “beginning of liberation day in America.” The full impact of the tariff war with Canada and other nations such as the European Union, China, and Mexico remains uncertain as Washington has also imposed steep tariffs on these countries. Trump has pledged to target the “Dirty 15” – countries he accuses of contributing most to the U.S. trade deficit – with details on his next steps in the tariff war set to be announced on April 2.

Source: https://www.foxnews.com/world/canada-stares-down-consequences-trump-tariff-war-job-losses-grocery-price-hikes-possible-recession