Justin Trudeau announces Canada-US Economic Summit on February 7 amid tariff uncertainty

Canadian Prime Minister Justin Trudeau announced on February 5 that the Council on Canada-US Relations will hold a summit in Toronto on February 7. The meeting follows a 30-day pause on the Trump administration’s proposed tariffs, which took effect earlier this week.

The summit aims to boost Canada’s economy, expand domestic trade, diversify export markets, and address productivity challenges. Trudeau emphasized that it would also strengthen coordination among key partners.

“The Canada-U.S. Economic Summit is Team Canada at its best. We are bringing together partners across business, civil society, and organized labour to find ways to galvanize our economy, create more jobs and bigger paycheques, make it easier to build and trade within our borders, and diversify export markets. We want businesses, investors, and workers to choose Canada,” Trudeau said in a statement.

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The announcement comes in response to US President Donald Trump’s executive orders issued on February 1, imposing 25 percent tariffs on goods from Canada and Mexico and 10 percent tariffs on Chinese imports. While these tariffs were initially scheduled to take effect on February 4, Trump unexpectedly paused them for Canada and Mexico at the last minute. However, tariffs on Chinese goods remain in place, with the White House confirming that Trump is set to discuss the matter with Chinese President Xi Jinping.

The pause follows heightened trade tensions, with Canada retaliating by imposing tariffs on $107 billion worth of US goods. In addition, Trudeau struck agreements with Trump, including appointing a fentanyl czar, designating Mexican cartels as terrorist organizations, and launching a “Canada-US Joint Strike Force” to combat organized crime and fentanyl trafficking.

“Canada is implementing our $1.3 billion border plan… Nearly 10,000 frontline personnel are and will be working on protecting the border,” Trudeau stated.

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Trump responded via Truth Social, saying, “Canada has agreed to ensure we have a secure northern border, and to end the deadly scourge of drugs like fentanyl finally… I am very pleased with this initial outcome… The tariffs announced on Saturday will be paused for a 30-day period to see whether or not a final economic deal with Canada can be structured.”

On Wednesday, Trudeau held a virtual meeting with Canada’s provincial premiers, a weekly event amid ongoing US-Canada trade tensions. Finance Minister Dominic LeBlanc, Internal Trade Minister Anita Anand, and Canada’s Ambassador to the U.S., Kirsten Hillman, also participated in the discussion, as per a report by CBC.

According to a government readout quoted by CBC, Trudeau provided an update on his call with Trump, and the group discussed removing internal trade barriers to further strengthen the Canadian economy.

Canada and the US remain each other’s largest trade partners, with nearly $3.6 billion (US$2.7 billion) worth of goods and services crossing the border daily in 2023. Trudeau’s government is reinforcing border security through a $1.3 billion Border Plan built around five key pillars to bolster security, strengthen immigration policies, and support Canada’s economic stability.

Additionally, the Committee on Internal Trade, composed of federal, provincial, and territorial ministers, continues to oversee the implementation of the Canadian Free Trade Agreement (CFTA). The committee is responsible for supervising working groups, resolving trade disputes, and ensuring the smooth operation of interprovincial trade, which amounted to over $530 billion in goods and services last year—nearly 20 percent of Canada’s GDP.