Tariffs by the United States government would be “punishing” for New Brunswick, according to an industry and trade association.
U.S. President-elect Donald Trump is threatening a 25 per cent tariff on all imports from Canada unless it clamps down on drugs and migrants crossing the border.
Ron Marcolin, divisional vice-president with Canadian Manufacturers & Exporters (CME), said he was in disbelief when he heard the news.
“Hold on tight, because here we go again. And it clearly could be a rough ride for New Brunswickers,” Marcolin told our newsroom.
The New Brunswick government has said 92 per cent of exports from our province go to the United States.
Marcolin said that is excellent when times are good, but can be devastating when tariffs become involved.
“The Americans may just say, ‘No, we will not buy New Brunswick products. They’re just too expensive.’ And as we know, everybody has an alternative to go to different markets to get different products,” he said.
“So it’s not exclusive to New Brunswick — obviously, it’s all across Canada — but it will be very punishing to our province.”
CME said tariffs would not just harm Canada’s economy but would also hurt U.S. manufacturers by increasing their costs and disrupting “deeply integrated supply chains.”
The prime minister and Canada’s premiers met on Wednesday night to discuss the potential tariffs and Trump’s demands.
Marcolin is optimistic that Canada can convince Trump to back down from his tariff threat but said we need to be prepared for the worst.
“We have produced various countervailing duties in the past, specifically in 2020, when it related to steel and aluminum,” he said.
“We should, as a nation, be prepared to implement our own countervailing duties.”
