US Court Ruling Fuels Uncertainty in Canada Trade

The U.S. Court of International Trade ruled that former President Donald Trump exceeded his authority by using emergency powers to impose broad tariffs, including those related to fentanyl, on countries such as Canada, Mexico, and China. While Canadian Prime Minister Mark Carney welcomed the decision, significant tariffs on Canadian steel, aluminum, and autos remain in place under separate U.S. laws. Following the court's ruling, there was a brief pause in tariffs, but a U.S. appeals court later reinstated many of them pending further legal review, prolonging uncertainty for exporters. Canadian officials have pledged to respond if new or increased tariffs are imposed, and industry leaders are pushing for swift retaliatory measures. Experts note that only a new, lasting trade agreement can fully resolve the ongoing trade tensions. The situation underscores the volatility in Canada-U.S. trade relations and Canada's need to diversify its economic partnerships.