Good morning. We’re off until Monday, so let’s wrap up the week with a look back at the many twists and turns in Donald Trump’s trade war. (Merry Christmas!) More on that below, along with Mark Carney’s frequent flyer miles and Quebec’s latest leadership race. But first:
Today’s headlines
- A former Alberta Health Services board member obtains a rare court order, alleging intimidation by podcasters
- Accused Ryan Wedding lawyer Deepak Paradkar is granted bail in his extradition case
- Trump flew on Epstein’s private jet at least eight times, an e-mail indicates
Tariffs on Canadian steel currently sit at 50 per cent.Nathan Denette/The Canadian Press
2025 in Review
A taxing timeline
Merriam-Webster may have decided the word of the year is “slop,” but Canadians know better: It’s definitely “tariffs.” U.S. President Donald Trump’s signature economic policy has shaken markets, scrambled international relations and thoroughly transformed this country – upending our federal election, redirecting our trade flows, prompting us to go cold turkey on American booze and travel, and ushering in $90-billion of new spending to counter Trump’s protectionist moves.
The good news is that, because of the United States-Mexico-Canada Agreement, the vast majority of our products still cross the border tariff-free. The bad news is that the USMCA is up for review next year and Trump will occupy the White House until 2029. (Or, I don’t know, longer? TBD.)
That means Canada can bank on a lot more trade-war whiplash. To brace ourselves, here’s a brief look back at the past 12 months in on-again, off-again, sure-why-not-again tariffs.
January: It begins
Trump announces he’ll impose 25-per-cent tariffs on all goods from Canada and Mexico, citing a national emergency over the illegal movement of migrants and drugs into the States.
February: Or not?
Hours before the Feb. 4 tariffs are meant to kick in, Trump agrees to a 30-day pause. A week later, however, he says he’ll add 25-per-cent tariffs to steel and aluminum imports from all countries.
March: A double whammy
On March 4, Trump’s blanket tariffs hit Canadian and Mexican exports. This time, he makes us wait two days before lifting the levies – at least on all USMCA-compliant products. Steel and aluminum tariffs go ahead on March 12, and then, two weeks later, Trump slaps an extra 25-per-cent on cars made in Canada and Mexico. Ottawa introduces its own retaliatory tariffs on $60-billion of U.S. goods.
April: Liberation Day
You remember Liberation Day: Trump whips out a giant chart inflicting “reciprocal tariffs” on all his trading partners, along with a couple of islands inhabited only by penguins. There’s a 10-per-cent baseline tariff on every U.S. import as of April 5, which Canada and Mexico manage to dodge, and further tariffs on dozens of countries as of April 9, which Trump immediately defers for 90 days.
May: Law and order
A U.S. federal court rejects Trump’s use of emergency powers to impose tariffs, ordering the White House to lift both its Liberation Day levies and the ones issued on fentanyl grounds. The Trump administration quickly contests the ruling and a federal appeals court lets the tariffs remain while the challenge plays out.
Let's hope Liberation Day isn't an annual event.Chip Somodevilla/Getty Images
June: RIP, DST
First, Trump jacks his tariffs on steel and aluminum to 50 per cent. Then he abruptly announces he’s ending all trade talks with Canada and threatens even more tariffs in retaliation for our digital services tax. Ottawa axes the tax and releases a statement saying the two countries will work toward a deal by July 21.
July: No deal
Trump decides Canada hasn’t done enough to address fentanyl trafficking and illegal migration, so he hikes tariffs on our exports to 35 per cent.
August: Olive branch extended
The U.S. adds 400 new categories of steel and aluminum products to its list of tariffs and tacks a 50-per-cent levy onto copper, as well. Prime Minister Mark Carney drops some of Canada’s retaliatory tariffs on the U.S. in a bid to restart talks.
September: Olive branch rejected
Trump responds by boosting levies on Canadian softwood to nearly 45 per cent. He also doles out a slew of new tariffs on pharmaceuticals (100 per cent), heavy trucks (25 per cent), kitchen cabinets (50 per cent) and furniture (30 per cent, provided it’s upholstered). A U.S. federal appeals court agrees that the emergency-powers tariffs are illegal, but leaves them in place while Trump takes his case to the Supreme Court.
October: Enter Ronald Reagan
Carney and Trump enjoy a friendly Oval Office meeting, although any progress comes to a screeching halt after Ontario airs its 60-second, Reagan-quoting, anti-tariff ad. Trump suspends all discussions and says he’ll raise tariffs on Canadian goods by another 10 per cent.
November: A red flag
Trump appears to forget about his 45-per-cent-tariff threat, perhaps because he’s distracted by the case unfolding at the Supreme Court. Most of the justices seem skeptical that the President can impose sweeping tariffs through emergency powers; their final ruling will come next year.
December: A reprieve
Beyond a vague threat about high taxes on Canadian fertilizer, Trump declines to open a new front in his ongoing trade war. One sympathizes. After a full year of non-stop tariff sabre-rattling, we’re all pretty pooped.
The Shot
On your Mark, get set, go
Mark Carney makes his international debut as Prime Minister with French President Emmanuel Macron in March.Stephanie Lecocq/Reuters
The Globe examined everywhere Prime Minister Mark Carney has gone since taking office this spring – and what that travel reveals about his priorities. Check out our map here.
The Wrap
What else we’re following
At home: Canada’s economy is set to end the year on a weak footing after – you guessed it – all the tariff turmoil.
Abroad: Israel’s defence minister walked back his comments about building settlements in northern Gaza.
On the ballot: After a nine-week leadership race, the Quebec Liberal Party will choose Pablo Rodriguez’s successor on March 14.
On the shelves: Ontario’s changes to how and where alcohol is sold could lead to higher prices in the new year.
On the ground: Will it be a white Christmas where you live? The Globe took a 50-year look at Canada’s snowfall on Dec. 25.
Off the air: CBS News issued takedown orders for a spiked 60 Minutes report that briefly appeared on Global TV’s app – though it’s been widely shared on social media already.