New U.S. tariffs targeting roughly $28 billion in Canadian imports are set to go into effect Wednesday, as negotiations between the two countries continue without a resolution.
The tariffs would impose a 50% rate on Canadian goods including dairy, cement, alcohol, hockey sticks, and more. Economists say American companies would be responsible for paying the tariffs, a cost that could ultimately be passed on to consumers at the store.
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President Trump addressed his frustrations with Canada last month.
"The only response to the way they've treated our farmers and our people," Trump said. "Canada has been very, very tough on us over the years, for many years. And no other president has done anything about it."
Part of Trump's frustration stems from restrictions Canada has placed on importing American dairy and alcohol, as well as limits on the U.S. auto industry in recent years.
Many analysts on Wall Street largely believe Trump will reach a deal or delay Wednesday's tariffs. However, skepticism remains, given that negotiations involve the entirety of U.S.-Canadian trade rather than one or two isolated issues.
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Ontario Premier Doug Ford, who leads the Progressive Conservative Party of Ontario, made clear in recent weeks that he is prepared for potential economic retaliation.
"I'll just speak for Ontario, everything is on the table," Ford said. "We can't keep rolling over for Donald Trump."
