Trump re-inserted himself into Canada’s election during a signing ceremony inside the Oval Office, saying Canada “would cease to exist as a country” if the US stopped buying its goods.
“I have to be honest, as a state, it works great,” said Trump, who previously threatened to make the country the 51st state through economic coercion.
Trump reiterated his claim that the US doesn’t need anything from Canada – including autos and oil.
“We don’t really want Canada to make cars for us, to put it bluntly. We want to make our own cars,” Trump said.
In recent weeks, Trump has dialed back his talk of Canada becoming the 51st state. He stopped saying it after a call with new Prime Minister Mark Carney last month.
Trump also suggested on Wednesday that he might increase import taxes on cars from Canada. Trump has a 25 percent tariff on autos, although there are some exemptions related to the United States-Mexico-Canada Agreement on trade, and automakers are seeking other policy changes to minimize the tariff burden.
Trump has separate 25 percent tariffs on Canadian goods – ostensibly to address drug smuggling into the US.
“I really don’t want cars from Canada,” Trump said. “So when I put tariffs on Canada, they’re paying 25 percent, but that could go up in terms of cars. When we put tariffs on, all we’re doing is we’re saying, ‘We don’t want your cars, in all due respect.’”
Trump cautioned that he’s not currently considering additional auto tariffs, but he said there could be an increase.
Carney said last week that eliminating trade barriers within Canada would benefit Canadians as he made his case to retain power ahead of an April 28 vote. Carney has set a goal of free trade within the country’s 10 provinces and three territories by July 1. Canada has long had interprovincial trade barriers.
“We can give ourselves far more than Donald Trump can ever take away,” Carney said. “We can have one economy. This is within our grasp.”
Carney said the relationship Canada has had with the United States for the past 40 years has fundamentally changed because of Trump’s tariffs.
Trump’s trade war and threats to make Canada the 51st state have infuriated Canadians and led to a surge in Canadian nationalism that has bolstered Liberal Party poll numbers. (AP)
