If the president does choose to proceed with tariffs on Canada, Canada will respond and everything is on the table,” Prime Minister Justin Trudeau said.

Americans buy $900 billion a year in food, cars, TVs, toys, appliances and other goods from Mexico and Canada. The cost of these products could rise if President Trump carries out his threat to apply 25% tariffs.

Mexico and Canada are putting aside their differences and forming a more united front as they try to head off US President Donald Trump’s threat to impose steep tariffs on them as soon as next week. Since winning the election in November Trump has repeatedly threatened his country’s two largest trading partners with tariffs of 25 per cent on all exports to the US in retaliation for what he says are rising levels of illegal immigration and the trafficking of the opioid fentanyl into the country.