Canada considers response to potential U.S. tariffs on imports

Canada is considering retaliatory tariffs on U.S. imports after President-elect Donald Trump threatened a 25% tariff on goods from Canada and Mexico. A Canadian official stated that no final decision has been made yet. Experts warn that a trade war could lead to recessions in both countries and disrupt commerce. Canadian industries reliant on U.S. exports, such as auto and energy, would be particularly affected. The U.S. could also face economic consequences, including higher gas prices. Analysts suggest that the Trump administration may impose limited tariffs rather than blanket ones, given the interconnected nature of the U.S. and Canadian economies.