Canada on Friday unveiled billions of dollars in aid and other forms of support to businesses and people expected to be directly affected by US tariffs, reported Reuters. These relief measures involve over C$6.5 billion ($4.52 billion) of financial aid to help companies tap new international markets, absorb the impact of losses, access easy loans and prevent layoffs, a team of ministers said.
Canada relies on the United States for 75% of its exports and a third of all imports. Its reliance on trade for economic growth leaves the country vulnerable in case of a protracted trade war.
US President Donald Trump’s administration imposed 25% tariffs on most imports from Canada and Mexico earlier this week, before announcing a suspension of the charges until April 2 on goods covered by the US-Mexico-Canada Agreement on trade. “We are moving ahead with these changes despite yesterday’s pause because businesses and workers need assurances right now,” Labour Minister Steven MacKinnon said at a news conference on Friday. Read more