Freeland's 'plan to stand up to Trump' targets $200B worth of U.S. goods
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Liberal leadership contender Chrystia Freeland released Monday what she's calling her "plan to stand up to Trump" — a policy document that includes the threat of big tariffs on U.S. goods to make the Americans pay if they go after the Canadian economy.
Freeland called on the federal government to take a hard line and "immediately publish a detailed, dollar-for-dollar retaliation list" that includes $200 billion worth of U.S. products that could be subject to Canadian trade action if President Donald Trump moves against this country.
Freeland said publishing that sort of list, before Trump even levies any tariffs, would be a sort of pre-emptive strike and a way to remind the American political establishment that coming after Canada will come at a cost.
"Being smart means retaliating where it hurts," Freeland said.
"If President Trump imposes 25 per cent tariffs, our counterpunch must be dollar-for-dollar — and it must be precisely and painfully targeted," she said.
She also wants to convene an "international summit" to form some sort of "coalition" of aggrieved countries that face threats from Trump. She said the summit should include leaders of Mexico, Denmark, Panama and the European Union.
Like Canada, Trump has threatened Mexico and the EU with punishing tariffs and has suggested the U.S. could forcibly annex Greenland, a Danish territory, and the Panama Canal.
"Trump thinks we are for sale and that he can push us around. This is a serious moment that demands a serious plan to fight for Canada," Freeland said.
WATCH | Why Freeland says counter-tariffs are the best way to fight Trump:
Why Freeland says counter tariffs are the best way to fight Trump
4 hours ago
Duration 1:23
Liberal leadership hopeful Chrystia Freeland says dollar-for-dollar tariffs will send U.S. President Donald Trump the message that "Canada is not for sale."
Freeland has made fighting back against Trump the centrepiece of her leadership campaign so far. She has sought to remind Liberal voters she played a crucial role in renegotiating NAFTA the last time Trump was in office.
Foreign Affairs Minister Mélanie Joly said Monday that Canada is still trying to get Trump to hold off slapping tariffs on Canadian goods through diplomacy.
But, if the tariffs go ahead, Canada is ready to respond with its own measures, she said.
"We will be ready for day one," she said.
Asked about Freeland's call to release a list of goods that could be hit with tariffs before Trump strikes, Joly said: "We believe diplomacy can work and that's why we're having conversations and we won't negotiate in front of the public."
Joly said there's still a chance that Canada's arguments against tariffs will sway Trump to drop his threats.
She said Canada is the biggest customer for U.S. goods and services and, when you exclude oil exports, which are driven by U.S. demand, the Americans actually have a trade surplus with Canada.
"We hope facts will prevail," she said.
As part of the diplomacy push, Joly said Canada is talking to allies, including the EU, the United Kingdom and Mexico, about Trump's threatened trade action and how they could collectively respond.
WATCH | Foreign Affairs Minister Mélanie Joly on a dollar-for-dollar list:
'We believe that diplomacy can work' to prevent U.S. tariffs, says Joly
14 minutes ago
Duration 0:43
Foreign Affairs Minister Mélanie Joly says the federal government is working every day to prevent tariffs from the United States. Joly says due to the unpredictability of the new administration, Canada has to be ready and working to both prevent tariffs and develop a response.
Joly will also meet with U.S. Secretary of State Marco Rubio on Wednesday.
The world got its first look at how Trump plans to deploy tariffs to get what he wants from other countries over the weekend.
The president of Colombia, Gustavo Petro, initially refused to accept deportees sent from the U.S. on American military planes only to change his mind when Trump went ahead with 25 per cent tariffs on Colombian goods.
Trump signalled late Sunday he would lift the tariffs after Petro agreed to take back Colombians who entered the U.S. illegally and were kicked out.
WATCH | Colombia agrees to accept U.S. deportation flights after Trump tariff threat:
Colombian President Gustavo Petro averted an economic disaster after his government and the U.S. reached a deal on deportation flights. U.S. President Donald Trump had threatened tariffs and sanctions to punish Colombia for refusing to accept military flights carrying deportees.
Trump is using trade threats to "unsettle Canadians," Freeland said, and Canada should do the same.
Drawing up a list of goods that may face retaliatory tariffs could lead to political pressure from the business community on Trump to back off, she said.
Freeland said targeting $200 billion worth of American goods for potential tariffs will make U.S. exporters "worry whether their businesses will be the ones we hit."
She floated tariffs on products coming from Trump's own state and swing states that were competitive in the last election.
Freeland said Florida orange growers, Wisconsin dairy farmers and Michigan dishwasher manufacturers should be potential targets for Canadian retaliatory tariffs.
Canada followed a similar playbook when Trump hit Canadian steel and aluminum with tariffs in his first term.
If Trump goes ahead with tariffs, the former finance minister also said she wants the federal government to immediately "stop the purchasing of any goods from any U.S. companies," with some national security exceptions.
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