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Trump Suggests Canada Would Have No Tariffs as 51st State, as Observers Brace for Trade War

February 2, 2025
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President Donald Trump reiterated his suggestion that Canada become the 51st state on Sunday, emphasizing that the country would not face his proposed tariffs if it joined the U.S.

“We pay hundreds of Billions of Dollars to SUBSIDIZE Canada. Why? There is no reason,” Trump wrote on TRUTH Social. “We don’t need anything they have. We have unlimited Energy, should make our own Cars, and have more Lumber than we can ever use. Without this massive subsidy, Canada ceases to exist as a viable Country. Harsh but true!”

“Therefore, Canada should become our Cherished 51st State,” Trump added. “Much lower taxes, and far better military protection for the people of Canada – AND NO TARIFFS!”

Trump has repeatedly suggested that the U.S. should exert economic pressure to bring Canada under its control.

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Trump Imposes Tariffs on Imports from Canada, Mexico, and China
Citing concerns over the flow of illicit drugs across the northern border, Trump signed an order on Saturday to implement a 25% tariff on goods entering the U.S. from Canada. The order, effective Tuesday, also imposes a 10% duty on energy or energy resources from Canada.

The order states, “gang members, smugglers, human traffickers, and illicit drugs of all kinds have poured across our borders and into our communities,” adding that “Canada has played a central role in these challenges, including by failing to devote sufficient attention and resources or meaningfully coordinate with United States law enforcement partners to effectively stem the tide of illicit drugs.”

Trump also announced tariffs of 25% on goods from Mexico and 10% on imports from China, citing similar concerns about drug trafficking across U.S. borders.

Canadian and Mexican Leaders Vow Retaliation
Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum both pledged to retaliate against the tariffs.

“We categorically reject the White House’s slander of the Government of Mexico for having alliances with criminal organizations, as well as any intention to interfere in our territory,” Sheinbaum said. She instructed her administration to implement “tariff and non-tariff measures in defense of Mexico’s interests.”

Trudeau announced that Canada would impose 25% tariffs on $155 billion of U.S. goods, including “immediate tariffs on $30 billion worth of goods effective Tuesday, followed by further tariffs on $125 billion worth of American products in 21 days.”

Diplomatic Tensions Rise
Canadian Ambassador to the U.S. Kirsten Hillman expressed concerns about the escalating situation. “I don’t think we’re not at all interested in escalating, but I think that there will be a very strong demand on our government to make sure that we stand up for the deal that we have struck with the United States,” Hillman told ABC News’ “This Week” on Sunday.

The announcement has sparked fears of a potential trade war, with observers closely monitoring the situation as tensions between the U.S. and its North American neighbors intensify.

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