‘I think we’ll win,’ Trump says between calls with Trudeau amid final U.S. push against Tuesday tariffs

Prime Minister Justin Trudeau addresses media following the imposition of a raft of tariffs by U.S. President Donald Trump against Canada, Mexico and China, in Ottawa, Saturday, Feb. 1, 2025. Minister of Public Safety David McGuinty, left to right, Global Affairs Minister Melanie Joly and Minister of Governmental Affairs Dominic LeBlanc look on. THE CANADIAN PRESS/Justin Tang

OTTAWA — Speaking between calls with Prime Minister Justin Trudeau, U.S. President Donald Trump said their first talk was “good,” but that he’s not sure there’s anything Canada could come to the table with this afternoon that could change his mind about tariffs.

Trump said during their morning chat, he raised his concerns about U.S. banks operating in Canada– appearing to move the goalposts on his rationale for tariffs – on top of his persisting concerns about drugs flowing across the shared border, as well as the trade deficit.

“I did ask (Trudeau) a couple of questions,” Trump said Monday in the Oval Office. “Canada is very tough. Canada is very, you know, we’re not treated well by Canada. And we have to be treated well.”

“That’s one of many things and we talked about, and I think we’ll win most of the subjects,” Trump added.

There are 16 U.S. based bank subsidiaries and branches with around CAD $113 billion in assets currently operating in Canada, according to the Canadian Bankers Association.

The Prime Minister’s Office confirmed the morning call – the two world leaders’ first since Trump returned to the White House – and said the pair discussed trade and the border, without providing any additional details on the conversation.

According to Trump’s press secretary, the second call between Trudeau and Trump got underway around 3 p.m. EST.

“I think we’re going to have another good conversation today,” Trump said beforehand. The U.S. president also restated his desire to see Canada become the “51st state.”

“If people wanted to play the game right, it would be 100 per cent certain that they would become a state,” he said. “A lot of people don’t like to play the game because they don’t have a threshold of pain, and there would be some pain, but not a lot.”

Can Canada avoid tariffs?

Mid-morning developments from Mexican President Claudia Sheinbaum indicating Mexico and the U.S. have agreed to pause the imposition of tariffs for one month, injected new uncertainty in the situation for Canadians.

When asked if he thinks there’s anything Canada can say then to avoid the imposition of tariffs tomorrow, the U.S. president said he didn’t know.

“We’ll see what happens. I can’t tell you what’s going to happen,” Trump said. “I look at some of the deals made. I say: ‘who the hell made these deals? They’re so bad.’”

The current Canada-United States-Mexico Agreement (CUSMA) free trade agreement was signed by Trump.

Until either Trump or Trudeau indicate a similar deal has been struck, domestic efforts to ready “buy Canadian” campaigns are well underway, as are provinces’ preparations to hit back by pulling U.S. products from shelves and cancelling cross-border contracts.

“Today’s going to be a crazy day. All hands on deck. Team Canada. Zero politics,” prominent auto sector spokesperson Flavio Volpe posted on social media.

Volpe is one of the members of Trudeau’s Canada-U.S. Relations Council, which the prime minister was set to meet with virtually today.

Freeland: The PM has been great

There are now less than 24 hours before Trump’s tariffs – 25 per cent on imports and 10 per cent on energy – and this country’s countermeasures on an initial $30 billion worth of U.S. goods are to come into effect.

With the countdown on, there’s a full-court press effort from Canadian politicos leveraging U.S. contacts.

Ontario Premier and provincial Progressive Conservative Leader Doug Ford is making a series of scheduled media appearances on U.S. networks, as has former deputy prime minister and current Liberal leadership candidate Chrystia Freeland.

Both trying to make Canada’s case, Ford and Freeland spoke to American audiences about how the trade war Trump started is going to cost them.

“Inflation is going to happen in the U.S., it’s going to happen in Canada, interest rates will go up,” Ford said on Fox and Friends.

Freeland, speaking on MSNBC’s Morning Joe said Canadians are “really angry,” and voiced support for Trudeau’s response, despite their recent differences.

“The prime minister has been great, and I have to tell you, the whole country is rallying behind him,” she said.

Poilievre pushes for border, domestic trade moves

According to Green Party Leader Elizabeth May, among the outreach efforts Trudeau made over the weekend, was to opposition leaders. In a statement, May said Trudeau discussed Canada’s response plan and state of diplomatic affairs.

“The prime minister shared that it had become increasingly clear that there was no evidence or further actions on border security that would make any difference. Trump would only double down. It was not really about fentanyl. It was about Canada and our sovereignty,” May said. “All of us spoke to that point and agreed.”

Conservative Leader Pierre Poilievre – who posted a new video Monday morning backing the idea of breaking down interprovincial trade barriers – also called for Canada to deploy an additional 2,000 border agents as part of efforts to “fix” the border.

Mexico’s Sheinbaum has agreed to send 10,000 troops to the U.S. border to help tackle drug trafficking.

Officials considering additional measures

Detailing the full list of products Canada plans to target off the bat, senior government officials left the door open on Sunday to there being additional measures taken should the cross-border economic battle escalate.

Senior government officials also made it clear that Trump using the International Emergency Economic Powers Act to impose this massive trade action, is a violation of CUSMA, and Canada intends to pursue legal action and other avenues of recourse.

Federal Procurement Minister Jean-Yves Duclos told reporters on Monday that the non-tariff measures the government is contemplating includes “a Canada-first approach” on procurement, such as defence contracts.

This is a developing story, check back for updates…