US President-elect threatens Canada with tariffs and annexation

In December 2024, the United States President Elect Donald Trump threatened that unless Canada addressed illegal trade in Fentanyl, immigration issues including people smuggling, and ‘stopped ripping off the United States’ with a $100 billion trade deficit that the US Government that he would impose large tariffs on all goods and services from Canada. President Elect Trump claimed that the trade defiict consituted a subsidy by the US of Canada.

According to official data reported in the press, only 43 pounds of Fentanyl had been seized at the US-Canadian border in 2023-2024, prompting analysts to categorise these threats as economic coercion. For example, one quoted analyst commented, “Trump is trying to set up almost a negotiation to see what people are gonna offer him, … It is economic coercion.”

As former Chinese delegate to the United Nations, Zhou Xiaoming commented, “He is providing the world with some textbook cases in economic coercion.”

CNN reported “the incoming US president has thrown jabs at Trudeau, calling him “governor” and referring to Canada as the 51st state”, and repeated these remarks subsequently, which was seen as a threat of annexation.

Status

As of December 2024, this dispute is ongoing and expected to intensive during 2025 once Donald Trump enters office in his second term as President of the United States. European commentators predict extensive disruption during 2025, noting “trade becomes a tool in Trump’s eyes to redress said injustice and castigate trade partners that are trading unfairly with the US, threatening them with protectionist measures if they do not submit to his demands.”

References

Bowden, O. (2024) “Canada’s government in shambles after Trump tariff threats – what can it do next?” 20 December. https://www.theguardian.com/world/2024/dec/19/trudeau-trump-canada-tariff

Look, A. and Patriquin, M. (2024) “The real numbers behind Trump’s Canada tariff threat” 26 November, The Logic. https://thelogic.co/news/trump-canada-tariff-border-fentanyl/

Paternoster, T. (2024) “Trump jokes aboout making Canada the ’51st state’ as leader Trudeau faces turmoil” 19 December, Euro News. https://www.euronews.com/2024/12/19/trump-mocks-canada-as-leader-trudeau-faces-turmoil-over-tariff-dispute

Wehner, G. and Baier, B. (2024) “Trump suggests Canada become 51st state after Trudeau said tariff would kill economy: sources.” 2 December, Fox News https://www.foxnews.com/politics/trump-suggests-canada-become-51st-state-after-trudeau-said-tariff-would-kill-economy-sources

Xiaoming, Z. (2024) “Trump’s Toothless Threats” 13 December, China-US Focus. https://www.chinausfocus.com/finance-economy/trumps-toothless-threats