Trump's latest tariff threat ‘not grounded in economic logic': Toronto trade board president

CTV News

11-07-2025

The Bay Street Financial District is shown with the Canadian flag in Toronto on Friday, August 5, 2022. THE CANADIAN PRESS/Nathan Denette
The head of Toronto's trade board says U.S. President Donald Trump's latest tariff threat is 'not grounded in economic logic' as he pushed Ottawa to continue to negotiate the 'best deal it can' for Canadians.
'Our members are deeply frustrated by yet another disruptive turn in U.S. trade policy,' Toronto Region Board of Trade president and CEO Giles Gherson said in a statement issued Friday, calling the latest development in Trump's ongoing trade war with Canada a 'bargaining tactic.'
'It also comes at a time when Canadian businesses are already navigating the competitive pressures created by the United States' new industrial strategy, the so-called 'One Big Beautiful Bill,'' he said.
On Thursday, Trump threatened to slap a 35 per cent tariff on Canadian goods by Aug. 1. He said that he may consider a tariff adjustment if Canada works to stop the flow of fentanyl into the U.S., an issue he used to justify starting the trade war in February.
Prime Minister Mark Carney responded by saying Ottawa will continue to 'steadfastly' defend workers and businesses in the face of Trump's latest threat as his government works to secure a new trade deal.
'Canada has made vital progress to stop the scourge of fentanyl in North America. We are committed to continuing to work with the United States to save lives and protect communities in both our countries,' Carney wrote in a post on social media.
The White House has confirmed that the 35 per cent tariff will only be applied to goods already subject to the 25 per cent import tax Trump introduced at the start of the trade war. Goods exempt under the North American trade pact are not expected to be impacted.
Tariffs on Canadian steel, aluminum and vehicles remain in place and Trump has said a tariff on copper will start on Aug. 1
Businesses must 'urgently' accelerate productivity: Gherson
As the Aug. 1 deadline approaches and as trade negotiations continue, Gherson urged businesses to 'urgently' accelerate productivity, strengthen internal economic cohesion and expand Canada's global trade footprint.
'This is how we build the long-term economic resilience Canada needs, no matter who occupies the White House,' he said.
Meanwhile, Canada's largest private sector union, Unifor, urged Carney to 'push back-hard' against Trump.
'Canada must use every bit of leverage we have. Workers are counting on our government to defend their jobs and industries. Concessions won't stop a bully, but collective strength will,' National President Lana Payne said in a news release on Friday.