How Canada could hit back to hurt the US economy - and Trump

What the report says

BBC World News reports that Canada is weighing several ways to pressure the United States in the widening tariff dispute, as Prime Minister Mark Carney and provincial leaders signal they are prepared to retaliate rather than make major concessions. The article says Canada sends about 70% of its goods to the US and is a top customer for many American states, giving Ottawa potential leverage in sectors that matter to US industry and consumers.

Among the options discussed are “dollar-for-dollar” countertariffs on products such as steel, dairy, appliances, agricultural equipment, electronics, pulp and paper. The report also points to more disruptive tools that have been mentioned by officials, including possible energy measures, since Canada supplies most US natural gas and electricity imports and a large share of crude oil. Ontario Premier Doug Ford is quoted taking a hard line and floating the idea of using energy exports as pressure, while also highlighting Canada’s role in potash and critical minerals.

The BBC says Canada has already shown it can affect US business, citing provincial bans on American alcohol in response to earlier tariffs and a drop in Canadian travel to the US. Those moves have hurt US wine, spirits and tourism revenues. The article adds that the political stakes extend beyond trade, since higher costs could weigh on US households and businesses and shape opinion ahead of the American midterm elections. The broader context is a trade conflict with no quick resolution in sight, with both sides trying to gauge how much economic pain the other can absorb.