Canada ready to increase military purchases from US to deter Trump's tariffs

Canada is exploring avenues to bolster its defence and critical minerals sectors in collaboration with the United States, said the Canadian energy minister, Jonathan Wilkinson. 

During an interview in Washington, he said the collaboration includes purchases of US military equipment, such as submarines, and efforts to develop critical mineral projects within Canada that would reduce reliance on Chinese products in US supply chains, Caliber.Az reports via foreign media.

Wilkinson highlighted Canada's willingness to procure advanced military technology from the US, as part of broader discussions to strengthen bilateral defence ties. "We are open to procuring a lot of the go-forward military equipment, like submarines from the United States," Wilkinson remarked.

However, Canada is simultaneously preparing for potential retaliatory measures if US President-elect Donald Trump proceeds with his threat to impose a 25% tariff on all Canadian imports. Wilkinson emphasized that Canada would respond in kind, with targeted tariffs on products such as Michigan steel or Florida orange juice, designed to cause minimal damage to Canada while creating significant disruption in the US

The tariff dispute is part of Canada's intensified lobbying efforts in Washington, aimed at persuading Trump to back down from his proposed trade measures.

Economists have warned that such tariffs could drive Canada's economy into a recession. The US and Canadian economies are deeply interconnected, with Canada's oil industry supplying over half of US crude imports, and American investments in Canadian critical mineral projects playing a key role in reducing US dependence on China.

Wilkinson cautioned that tariffs on Canadian imports would ultimately hurt US consumers by driving up prices on vital goods such as gas, potash, and uranium. He questioned whether the US would turn to China for these resources, a move that could undermine both national security and economic stability.

The escalating tension was further fueled by Trump's recent comment suggesting that using "economic force" to annex Canada could improve US national security. Wilkinson firmly rejected the idea, asserting that Canadians have no interest in becoming Americans. "Canada would not become a 51st state," he said, reinforcing the country's sovereignty and independence.

By Khagan Isayev