NewsCanada turns to homegrown goods amid Trump trade tensions

Canada turns to homegrown goods amid Trump trade tensions

Canadian stores are increasingly turning away from American goods as a result of Donald Trump's policies. The "buy Canadian" trend is gaining popularity, influencing trade between the countries.

Canada boycotts American products
Canada boycotts American products
Images source: © Getty Images | VCG
Justyna Lasota-Krawczyk

What do you need to know?

  • Canadian stores are turning away from American goods: In response to Donald Trump's policies, Canadian retail chains are increasingly choosing local products.
  • "Buy Canadian" trend: This trend is gaining popularity, causing concern among American companies exporting to Canada.
  • Impact on American companies: Companies like Parasol Co and Brown-Forman are feeling the effects of changing consumer sentiments in Canada.

The dire consequences of Trump's policies

Canadian stores, in response to Donald Trump's policies, are increasingly turning away from American goods. The "buy Canadian" trend is gaining popularity, causing concern among American companies. Jessica Hung, president of Parasol Co, mentioned that a distributor decided not to introduce their products to Canadian stores due to "growing anti-American sentiment".

These changes are also affecting other industries. Brown-Forman, the producer of Jack Daniel’s whiskey, described the removal of American bourbon from stores in Canada as worse than the Canadian retaliatory tariffs. Similar issues are reported by companies exporting citrus fruits from California, which are experiencing order cancellations by Canadian retail chains.

Canadian stores are changing suppliers

Changes on the shelves in Canada are the result of Donald Trump's policies, which imposed 25 per cent tariffs on steel and aluminium and threatened additional tariffs on other products. Daniel Bukowski from GT's Living Foods noted that Canadian retailers, including Walmart, are ordering fewer products due to uncertainty related to tariffs.

Canadians are increasingly choosing local products, influencing American companies' decisions about expanding north. Mark Crames, CEO of Demeter Fragrances, noted that Canadians have turned away from American products, prompting the company to abandon expansion plans.

Decisive reaction in Canada

Changes in trade between the United States and Canada are significant, considering that in 2024 Canada imported goods worth nearly $350 billion (CAD 500 billion) from the United States. Mark Carney, the head of the Canadian government, warned of tough times, stating that the former relationship with the United States is over.

The new trade situation is the result of Donald Trump's comments regarding the annexation of Canada to the United States and the imposition of tariffs on imported products. In response, Canadian consumers are increasingly avoiding "made in USA" products, affecting trade relations between the countries.

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