Image source, EPA

We've been getting a bit more details on the products Canada will be imposing retaliatory 25% tariffs from Tuesday.

The first wave of taxes will apply to $30bn worth of US imported goods and they'll remain in place until the US eliminates its tariffs on Canada, the Department of Finance says.

The list of tariffed products, external includes:

• Meat: Live poultry, dried or smoked meat, sausages
• Dairy: Milk, cream, yoghurt, butter and cheese
• Fruit and veg: Tomatoes, citrus, apricots, cherries and peaches

• Drinks: Coffee, tea, fruit juice and wine

As well as oats, pasta, chocolate, tomato ketchup and more.

Nadine Yousif
Reporting from Toronto

Image source, Getty Images

In urging Canadians to buy domestic products, Prime Minister Justin Trudeau is delivering a message of national unity ahead of what he projects will be "hard times" for the country.

A large majority - around 75% - of Canadian exports go directly to the US. The two countries also have a deeply-embedded auto manufacturing sector that stands to suffer big losses once these tariffs come into effect.

Economists project that Canada could be plunged into a recession if these tariffs are not lifted within five to six months, and that many Canadians could lose their jobs as a result.

“Many among us will be affected by this, and we will have some hard times. I ask you to be there for each other,” Trudeau told Canadians in a national address on Saturday, after US President Donald Trump announced the tariffs.

"Now is the time to choose Canada," he said, asking people to support Canadian businesses and to vacation in the country instead of travelling elsewhere.

Some Canadians have already heeded these calls. On social media, guides have started circulating on how to avoid American-made products at the grocery store. Others have stated they will be cancelling travel plans to the US, or forgoing visiting there altogether.

Provinces will also start pulling American booze off their shelves starting on Tuesday - all in a bid to help local businesses weather the storm ahead, and to undoubtedly send a message that Canadians are united.

The former leader of Canada's Liberal Party, Michael Ignatieff, says the imposition of tariffs from their close neighbour America "upends the crucial economic relationship that governs every job in the country."

"It's a shock," he tells the BBC, but adds that they will "get through this" - citing the deep relationship Canada shares with the US and noting his country is already addressing the border and fentanyl concerns Trump raised by spending 1bn Canadian dollars to "toughen up the border".

"And then we'll have to see whether Trump sees reason, because at some point, this is going to impose severe cost on the American economy," he says. "The whole thing is just crazy."

Canada needs to "have a deep look" at its own economy and rethink its dependence on the American economy, he adds, and warns other countries should look at their relationship with America in case Trump targets to them.

"We're into a new world in which the question on whether you can trust America becomes the fundamental question in foreign policy for every country."

Image source, Getty Images

It's just gone 17:30 in the London newsroom, and 12:30 in Washington DC.

Let's see how the world is reacting following Trump's trade tariffs announcement. Remember, the US will implement a 25% tariff on imported good from Mexico and Canada, starting on Tuesday at midnight. There's also an additional 10% tariff on China.

• Canadian Prime Minister Justin Trudeau unveiled matching 25% tariffs on 155bn Canadian dollars worth of American goods
• Mexican President Claudia Sheinbaum has instructed her economy minister to respond with tariff and non-tariff measures. They are expected to include retaliatory tariffs of 25% on US goods
• China's commerce ministry said the country would file a lawsuit with the World Trade Organization against the US for "wrongful practice" and would take countermeasures to "safeguard its own rights and interests"
• President Trump says any pain from tariffs is "worth the price" and has reiterated calls for Canada to become the US's 51st state
• France's industry minister Marc Ferracci says "it's clear we have to react" to proposed EU tariffs, while Italy's finance minister Adolfo Urso says it must avoid "triggering a devastating trade war"

Image source, EPA

The US Senate Minority Leader says he will explore "every way that we can legislatively prevent these tariffs from happening".

Speaking at a press conference, Chuck Schumer declares the US is "now in a trade war with Mexico and Canada".

"For the American people it will now be a war between prices and their pay checks," Schumer says.

On legal options to stop Trump, he says: "The good news is that there are a good number of Republicans who don't like them either, and so I'm hopeful we can get bipartisan legislation to prevent the president from raising these tariffs, or once he does, to roll them back."

"Now is the time to choose products made right here in Canada," the country's Prime Minister Justin Trudeau says in a post on X.

The short statement adds: "Check the labels. Let’s do our part. Wherever we can, choose Canada."

Jonathan Josephs
BBC business reporter

We've just seen a statement from the European Union which says it "regrets" the tariffs imposed on Canada, Mexico and China.

"Across-the-board tariff measures raise business costs, harm workers and consumers. Tariffs create unnecessary economic disruption and drive inflation. They are hurtful to all sides," the statement reads.

The EU isn't directly affected by these tariffs but its widely expected that Trump will impose new tariffs on the EU soon - however it says it is not yet aware of any such measures.

In 2023, the sides sold each other about $877bn worth of stuff, though more of it went to the US than the other way round.

The EU's biggest imports from the US are oil and medical supplies, while medical supplies and machinery, such as cars, dominate what the US imports from the EU.

The statements makes clear the EU will "respond firmly" to any unfair or arbitrary tariffs on it's exports.

"Our trade and investment relationship with the US is the biggest in the world. There is a lot at stake. We should both be looking at strengthening this relationship," the statement reads.

Image source, EPA

We can now bring you some fresh comments from British Prime Minister Sir Keir Starmer, who says he wants to see "strong trading relations" with the US.

Speaking to reporters from his official country residence, he adds that "in the discussions" he's had with President Trump, they have "centred on those strong trading relationships".

A little earlier we heard from Home Secretary Yvette Cooper, who touched upon the issue of Trump's tariffs while appearing on Sunday with Laura Kuenssberg.

Cooper says tariffs can have a "damaging impact on global growth and trade".

She adds that the government's focus is on building better trade relationships and removing barriers to trade "with the US, and also with other European countries and with countries right across the world".

Jonathan Josephs
BBC business reporter

Most economists will tell you tariffs are inflationary, that means they'll push up the prices businesses and consumers pay for what they buy.

It's because in the US they're paid by the company that imports the affected goods - in this case from China, Mexico or Canada - and at a time when many are already suffering from higher costs, they're likely to pass these additional costs onto their customers rather than let their profits take another hit.

And these tariffs come at a time when inflation has been a problem for a while.

Yes, inflation has fallen a long way from the peaks that the US, UK and Eurozone - the group of 20 EU countries that use the euro as their official currency - saw two-and-a-half years ago.

At that time, in the US, inflation stood at 9.1%. It is now at 2.9%, which is still above the 2% target of the US central bank and others.

They're already finding the so-called last mile of their inflation journey hard - and these tariffs won't help the US, or any country that imposes retaliatory tariffs on imports from America, because they are likely to see rising prices too.

Together, China, Mexico and Canada accounted for more than 40% of imports into the US last year.

Canada, Mexico and the US have deeply integrated economies, with an estimated $2bn (£1.6bn) worth of manufactured goods crossing the borders daily.

Canada is America's largest foreign supplier of crude oil. According to the most recent official trade figures, 61% of oil imported into the US between January and November last year came from Canada.

As the graph above shows, Mexico is the top importer, followed by China and Canada.

China was the top importer but this changed during Trump's first term as US president and continued to fall under Joe Biden's administration.

Image source, Reuters

Canadian Ambassador to the US Kirsten Hillman says Canada will "stand up for the deal" struck with the US which stands at a 99% free trade tariff.

Speaking about the incoming tariffs on ABC News, Hillman says they are "disrupting an incredibly successful trading relationship" between Canada and the US and that the country is "hopeful that they don't come into effect on Tuesday".

"We're ready to continue to talk to the Trump administration about that, and in particular about all the work that we're doing with them and on our own, with respect to the border, and the issues that the President has said are at the core of this," she tells ABC News.

Image source, EPA-EFE/REX/Shutterstock

We've been reporting on the impact that the tariffs imposed by Trump could have on consumers.

Now, Secretary of Homeland Security Kristi Noem has acknowledged that Trump's tariffs could raise prices for American people. She says, though, that this potential rise in prices will be because of "other people's reactions to America's laws".

She told NBC News that Canada, Mexico and China will "feel pain economically" but that they have an opportunity to become partners with the US.

Asked why Trump is imposing tariffs on Canada, despite the country not being a major source of fentanyl, Noem says: "Canada has some work to do as far as helping us secure our northern border."

"The President has been very clear from the beginning, there's a new sheriff in town," she says.

Image source, Getty Images

As international reaction pours in, we're hearing that Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum spoke on the phone yesterday, where they discussed the newly-imposed tariffs on their countries by US President Donald Trump.

According to a readout of the call from Trudeau's office, the two talked about efforts to enhance border security and to tackle the production of illegal drugs.

The trafficking of fentanyl - a deadly drug that has killed hundreds of thousand across North America - has been cited by Trump as a big reason behind those tariffs.

The two also discussed the deep ties between Canada and Mexico, including trade ties.

They agreed to strengthen bilateral relations between Canada and Mexico, and to remain in close contact.

We're hearing more reaction to Trump's tariff announcement, as some EU leaders have shared their opinions. Here's what we've spotted so far:

France's industry minister Marc Ferracci told French media outlet Le Figaro that "it's clear we have to react".

"The response, to be effective, must focus on the products that are important for the country with which you are negotiating," he adds.

Italy's finance minister Adolfo Urso told La Stampa says that "Trump has a specific mandate from his people: to reaffirm American primacy, relaunch industry and jobs in the States".

He adds that: "Europe must do the same... with equal speed of execution," but warns that "at the same time, it must discuss the merits with the US to avoid triggering a devastating trade war".

Nadine Yousif
Reporting from Toronto

Image source, Getty Images

Canadians looking to buy US-made liquor - think Jack Daniels Whiskey or Tito's Vodka - might have a hard time doing so in the coming days.

That is because Doug Ford, leader of Canada's most populous province Ontario, has directed all liquor stores in his province to stop selling US booze starting on Tuesday in retaliation to Donald Trump's tariffs.

Writing in a post on X on Sunday, Ford says his province sells nearly $1bn worth of American, beer, spirits and seltzers a year.

"Not anymore," he says.

His province will also remove American products from its wholesale catalogue, meaning that Ontario restaurants won't be able to order or restock on American booze either.

Ontario is not the only Canadian province to take this step. Nova Scotia, on Canada's Atlantic coast, will also remove US liquor starting on Tuesday. Meanwhile, British Columbia has announced it will stop selling liquor from so-called "red states" - meaning US states where the majority vote in the last election was for the Republican Party.

On Friday, the Distilled Spirits Council of the United States - the industry's national trade association in the US - said in a statement that it was "deeply concerned" the move will harm liquor producers in all three countries.

Image source, Reuters

We can now bring you some comments from Japan's Finance Minister Katsunobu Kato today who says the country is "deeply concerned" about how the tariffs could affect the global economy.

“Japan needs to scrutinise these policies and their effects, and take appropriate measures,” Kato said on Fuji TV on Sunday.

Japan is the world's fifth-largest foreign investor in Mexico - even more than China.

The BBC's Asia business reporter wrote earlier: "Today's measures, then, are not just a blow to Mexico, they're a new blow to Beijing, Tokyo and other Asian countries whose businesses sell to the US".

Canadian Prime Minister Justin Trudeau would be forgiven for thinking today might be his political Groundhog Day.

That's because US President Donald Trump has once again called for the country north of its border to become America's 51st state.

In a post on Truth Social, Trump writes that - without 'subsidies' - Canada "ceases to exist as a viable country".

"Canada should become our Cherished 51st State. Much lower taxes, and far better military protection for the people of Canada — AND NO TARIFFS," Trump writes.

Last week, the US leader told reporters he loves Canada, before adding: “I view it as, honestly, a country that should be a state."

These comments have been strongly dismissed by Canada's prime minister in the past, who said "it's not going to happen".

"Not a snowball's chance in hell," Trudeau said in early January.

Image source, Reuters

Image source, Reuters

Canada, Mexico and the US have deeply integrated economies, with an estimated $2bn (£1.6bn) worth of manufactured goods crossing the borders daily.

There's a lot at stake here.

The Canadian Chamber of Commerce said the tariffs would have "immediate and direct consequences on Canadian and American livelihoods" and will "drastically increase the cost of everything for everyone".

The car manufacturing sector could be especially hard hit. Parts cross the US, Canadian and Mexican borders multiple times before a final vehicle is assembled.

TD Economics suggested the import taxes could push up the average US car price by around $3,000, while the National Homebuilders Association said housing costs could increase.

Economists have warned the introduction of the import taxes by the US, and the responses from other countries, could lead to prices rising on a wide range of products, from cars, lumber, and steel to food and alcohol.

We can now bring you the latest comments from US President Donald Trump who has posted on social media network, Truth Social.

He says several countries, including Canada, Mexico and China, "continue the decades long ripoff of America, both with regard to trade, crime and poisonous drugs that are allowed to so freely flow into America."

"Those days are over," he writes.

He says products should be made in the US, and that his country shouldn't be losing "trillions of dollars in subsidizing other countries."

"Will there be some pain? Yes, maybe, and maybe not! It will all be worth the price that must be paid," he says.

In a separate post, he attacks Canada, and says they should "become our Cherished 51st State. Much lower taxes, and far better military protection for the people of Canada — AND NO TARIFFS!"

"We don’t need anything they have. We have unlimited Energy, should make our own Cars, and have more Lumber than we can ever use. Without this massive subsidy, Canada ceases to exist as a viable Country. "

We will continue to bring you updates so stick with us.

Jonathan Josephs
BBC business reporter

There are two important things happening in Congress this week when it comes to implementing Donald Trump’s trade policy.

On Wednesday, there’s a vote which is expected to confirm the billionaire Wall Street veteran Howard Lutnick as Commerce Secretary.

In a break from precedent he’ll be overseeing tariff policy but he’ll be working closely with experienced Washington trade lawyer Jamieson Greer, who has his nomination hearing on Thursday to become US Trade Representative, the position that normally oversees trade policy.

In the first Trump administration, he was chief of staff to then US Trade Representative Robert Lighthizer whose views are still seen as influential to Trump’s trade policy.

Lighthizer told the BBC at the end of his four years that it was ok if “T-shirts cost another nickel” because tariffs protected US jobs.

In Lutnick’s nomination hearing last week he also harked back to some of the trade concerns heard in the last Trump administration - which pointed to the tariffs being about more than just illegal drugs coming into the US.

His remarks to Senators could be seen as pointed at China and the EU. He said "We are treated horribly by the global trading environment. They all have higher tariffs, non-tariff trade barriers and subsidies."

He added: "They treat us poorly. We need to be treated better. We need to be treated with respect, and we can use tariffs to create reciprocity, fairness and respect."

Image source, Reuters