• Canadian Foreign Minister Melanie Joly warns of the largest trade war with the US in decades due to Trump's proposed tariffs.
• Prime Minister Justin Trudeau insists Canada is ready for a "strong and unequivocal" response to protect its economy.
• Experts anticipate severe economic impacts, including a potential 5% drop in Canadian GDP.
• Canadian leaders emphasize a unified response, as US tariffs could affect jobs and costs across the nation.
• Jagmeet Singh, leader of the NDP, describes Trump's stance as a significant threat to Canada's economy.

The growing tension between Canada and the United States could escalate into what might be the largest trade war in decades. Canadian Foreign Minister Melanie Joly has been vocal about the serious implications of US President-elect Donald Trump's plans to levy a 25% tariff on Canadian imports. Speaking at a press conference in Washington, Joly warned that Canada is ready to retaliate with what she referred to as a "Trump tax" on US goods if necessary. She stated, "We are ready to put maximum pressure," underlining that the conflict initiated by the US risks having dire repercussions for both nations, particularly affecting Canadian consumers and jobs.

Prime Minister Justin Trudeau reiterated the government's intentions to avoid a trade war but emphasized that Canada is prepared for a "strong and unequivocal" response should the tariffs be imposed. Trudeau asserted, "Nothing is off the table," indicating that retaliatory measures could span various sectors, including steel, glassware, and even Florida's orange juice, which have been outlined in reports from news agencies like [AFP](https://timesofindia.indiatimes.com/world/rest-of-world/canadian-foreign-minister-warns-of-biggest-trade-war-with-us-as-trumps-tariff-threat-looms/articleshow/117345826.cms).

The conversation around the proposed tariffs extends to potentially halting energy exports, a point that has sparked debate among provincial leaders. While Alberta’s Premier Danielle Smith has opposed this idea, Ontario Premier Doug Ford has called for a cohesive and united response, acknowledging that Trump's actions threaten not just specific regions but all Canadians.

Experts predict harsh economic ramifications should the trade war unfold, warning that the Canadian GDP could plummet by over 5%. Such a downturn would likely push inflation and unemployment rates upward, exacerbating current economic challenges. The US-Canada trade relationship is critical, with roughly $3.6 billion worth of goods and services crossing the border on a daily basis, highlighting Canada's significance as the largest export market for 36 US states.

As President-elect Trump prepares for his inauguration, his approach to trade has drawn substantial criticism from Canadian political figures. Jagmeet Singh, leader of the New Democratic Party, labeled Trump's actions as a "clear threat" to the Canadian economy and workforce, cautioning that the tariff threats would inflate the cost of living, a pressing concern for many Canadians. Singh has proposed strong countermeasures, including cutting off the supply of critical minerals to the US, to ensure that any conflict harms American interests, stating, "If he wants to pick a fight with Canada, we have to make sure it’s going to hurt Americans as well."

For further details, visit the original article by [India Times](https://timesofindia.indiatimes.com/world/rest-of-world/canadian-foreign-minister-warns-of-biggest-trade-war-with-us-as-trumps-tariff-threat-looms/articleshow/117345826.cms).