Mon Feb 03 02:21:44 UTC 2025: ## Canada to Challenge Trump’s Illegal Tariffs in Court
**Ottawa, Canada –** The Canadian government announced on Sunday that it will challenge the 25% tariffs imposed by the United States on most Canadian goods, calling the move illegal and a violation of trade agreements. The tariffs, announced by U.S. President Donald Trump on Saturday and effective Tuesday, apply to all Canadian goods except energy products, which face a 10% tariff starting February 18th.
In retaliation, Canada has imposed its own 25% tariffs on $30 billion worth of U.S. goods, representing 17% of all U.S. imports into Canada. Initial tariffs target products including cosmetics, appliances, pulp and paper. A second list of targeted goods, including vehicles, steel, aluminum, and certain food products, will be released in three weeks. This second list represents a further $125 billion in U.S. imports to Canada.
A senior Canadian government official, speaking on condition of anonymity, stated that the country will pursue legal action through relevant international bodies, including those established under existing free trade agreements and the World Trade Organization. The official emphasized that the U.S. actions violate established trade commitments between the two countries. The government is also establishing a remission process to provide relief for Canadian businesses affected by retaliatory tariffs.
Trump’s tariffs target Canada, Mexico, and China, aiming to curb the flow of fentanyl and, in the case of Canada and Mexico, illegal immigration. This move has initiated a trade war with potentially significant negative impacts on global economic growth and inflation. Mexico and Canada are the U.S.’s top two trading partners. The Canadian government has acknowledged the economic consequences for Canada but declined to provide specifics.