International Trade Today is a service of Warren Communications News.

Canada Announces Counter-Tariffs Against US,' Other Countries Weigh Responses

Multiple countries this week objected to President Donald Trump’s April 2 announcement of new reciprocal tariffs against trading partners (see 2504020072), saying they either plan to retaliate or are assessing how to respond.

Sign up for a free preview to unlock the rest of this article

If your job depends on informed compliance, you need International Trade Today. Delivered every business day and available any time online, only International Trade Today helps you stay current on the increasingly complex international trade regulatory environment.

Canadian Prime Minister Mark Carney said Canada will match Trump’s previously announced 25% auto tariffs with its own 25% duty on imported cars that aren’t compliant with USMCA, according to multiple reports. He said during an April 3 news conference, published by Reuters, that the Canadian tariffs won’t apply to imported U.S. auto parts or any “vehicle content” from Mexico, which he said is still “respecting” USMCA.

“We take these measures reluctantly. And we take them in ways that is intended and will cause maximum impact in the United States and minimum impact in Canada,” Carney said. “Our old relationship of steadily deepening integration with the United States is over.”

China’s Ministry of Commerce said the country plans to “take countermeasures” against the new U.S. tariffs, although it didn’t give exact details. “History has proven that raising tariffs will not solve the United States' own problems,” a ministry spokesperson said April 3, according to an unofficial translation. “It will not only damage the United States' own interests, but also endanger global economic development and the stability of the supply chain.”

The person urged the U.S. to “immediately cancel its unilateral tariff measures and properly resolve differences with its trading partners through equal dialogue.”

European Commission President Ursula von der Leyen, in a press conference published by The Associated Press, said that the EU is “already finalizing the first package of countermeasures" responding to the 25% tariffs on steel and aluminum products, and that the bloc is "now preparing for further countermeasures to protect our interests and our businesses" should negotiations with the U.S. fail.

The European Commission’s Maros Sefcovic, the bloc’s trade and economic security chief, said unjustified tariffs will “inevitably backfire,” implying that the U.S. tariffs will. The EU will “act in a calm, carefully phased, unified way, as we calibrate our response, while allowing adequate time for talks,” he said April 3 on X. “But we won't stand idly by, should we be unable to reach a fair deal.” Sefcovic said he’s planning to speak to U.S. officials on April 4.

In a webinar hosted by the American-German Institute, Jean Froehly, minister of economic and financial affairs for the German Embassy in Washington, D.C., said that he and his country oppose the tariffs: “What was announced yesterday will only do harm to both sides of the Atlantic.”

French President Emmanuel Macron described the tariffs as a “shock to international trade -- not just for the European Union and France -- but fundamentally for the proper functioning of global commerce.”

U.K. Business and Trade Secretary Jonathan Reynolds said the country is taking a “cool-headed, pragmatic approach” to the U.S. tariffs. The U.K. asked British companies to submit public comments “on what any future UK response should look like” and how businesses may be affected by new U.K. tariffs on imports from the U.S.

The U.K. also published a list of goods imported from the U.S. that possibly could be hit with tariffs. The list includes over 8,000 items ranging from motor vehicle parts to electronic integrated circuits to agricultural goods.

Mexican President Claudia Sheinbaum plans to announce a “comprehensive” response to the U.S. duties on April 4, but Mexico doesn’t plan to go “tit-for-tat on tariffs,” she said during an April 3 press conference, according to Reuters.

The Brazilian government issued a statement saying it is "evaluating all possible courses of action to ensure reciprocity in bilateral trade," including going to the World Trade Organization, "in defense of Brazil’s legitimate national interests."

Its usually divided Congress unanimously passed a reciprocity bill allowing the Brazilian government to retaliate against any country that imposes tariffs against the country.

Japan is weighing a possible retaliatory response, with the Japan Times quoting Trade Minister Yoji Muto as saying that Prime Minister Shigeru Ishiba has instructed his agency to consider "all possible responses," including determining "whether retaliatory measures would be an appropriate course of action.”

In a press conference published by Reuters, Australian Prime Minister Albanese called the tariffs "totally unwarranted" and not reciprocal, as Australia has no tariffs on U.S. goods. However, he ruled out the imposition of retaliatory tariffs, saying that Australia "will not join a race to the bottom."

Vietnam, subject to 46% tariffs, did not indicate that it would respond in kind. Vietnamese Prime Minister Pham Minh Chinh ordered the formation of an immediate response team to formulate the country's "comprehensive, balanced, and effective" response.

India has not announced retaliatory measures and India Today reported that India's minister of state for finance said that India was "assessing the impact of reciprocal tariffs imposed by the U.S." but that President Narendra Modi had to take an "India first" approach.

Malaysia confirmed that it will not retaliate with tariffs. Its Ministry of Investment, Trade and Industry issued a statement saying that "Malaysia is not considering retaliatory tariffs," and will instead look for solutions that will "uphold the spirit" of free and fair trade.