Trump says larger tariffs could be imposed on Canada, EU if they cause US 'economic harm'
Washington, D.C. – March 26, 2025
President Donald Trump escalated his rhetoric on international trade today, warning that the United States could impose significantly larger tariffs on Canada and the European Union if they take actions that cause “economic harm” to the U.S. The statement, delivered during a press briefing at the White House, comes amid growing tensions with key trading partners following the administration’s recent announcement of a 25% tariff on imported vehicles.
“If Canada and the EU decide to gang up and hurt our economy, believe me, they’ll see tariffs like they’ve never seen before,” Trump said, emphasizing his commitment to protecting American industries. “We’re talking much bigger than what we’ve already put out there. They won’t know what hit them.”
The remarks follow a flurry of trade policy moves by the Trump administration, including the vehicle tariff unveiled on March 25, 2025, which targets imports from Canada, Mexico, and the EU. That decision has already sparked backlash, with Canadian Prime Minister Justin Trudeau and EU officials signaling potential retaliatory measures. Canada, a major supplier of vehicles and parts to the U.S. market, has hinted at counter-tariffs, while the EU has vowed to defend its economic interests.
Trump’s latest comments suggest a willingness to double down on his protectionist agenda, a cornerstone of his economic platform. He framed the potential for steeper tariffs as a defensive measure, accusing some allies of exploiting U.S. trade openness. “We’ve been too nice for too long,” he said. “If they want to play tough, we’ll play tougher.”
Economists and trade experts warn that an escalation could disrupt North American and transatlantic supply chains, particularly in industries like automotive manufacturing, where Canada and the U.S. are deeply integrated. The EU, meanwhile, has a trade surplus with the U.S., a point Trump has repeatedly criticized.
The White House has not specified what actions by Canada or the EU would trigger the threatened tariffs, nor has it outlined the potential scale of the increases. However, Trump’s remarks align with his broader strategy of using tariffs as leverage in negotiations, a tactic he employed during his first term with mixed results.
Reactions poured in swiftly. In Ottawa, Trudeau called the prospect of higher tariffs “unacceptable,” stressing Canada’s role as a fair trading partner. Across the Atlantic, an EU spokesperson warned that further U.S. tariffs would “only deepen the economic fallout for all sides,” hinting at a coordinated response with Canada.
As markets brace for uncertainty, analysts predict that Trump’s hardline stance could either force concessions from trading partners or ignite a broader trade war. For now, the world watches as the U.S. president draws another line in the sand.
This article is based on the latest statements and developments as of March 26, 2025.
