By Charles Switzer
1:24pm PDT, Mar 13, 2025
Lutnick Pressures Canada to Show Gratitude Amid Trade War
Commerce Secretary
Howard Lutnick took a hardline stance against Canada in the ongoing trade dispute, demanding that Canadian officials acknowledge the United States' economic role.
"Just say thank you," Lutnick told CBS News, suggesting Canada should be more appreciative of its status as America's largest trading partner. He likened the situation to Ukraine, which he claimed had failed to properly thank the U.S. for $300 billion dollars in aid.
His comments come as tensions between Washington, D.C., and Ottawa escalate following Canada's decision to impose $21 billion dollars in
retaliatory tariffs on American goods, targeting computers and sports equipment.
Here's everything to know about Lutnick's tit-for-tat with Canada…
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Trump's Hard-Nose Tactics Force Canada to Back Down
Ontario Premier
Doug Ford found himself on the losing end of a trade battle with President
Donald Trump, backing off from a proposed 25 percent tariff on electricity exports to northern states.
In response, Trump halted his plan to double tariffs on Canadian steel and aluminum, keeping them at 25 percent. Howard Lutnick celebrated Trump's negotiating prowess, describing how the president had successfully "broken" Ford's stance.
"He needed to break some guy in Ontario," Lutnick said, adding that Ford had tried to "bully" Trump with the electricity tariffs.
The rapid back-and-forth in negotiations rattled financial markets, with Wall Street seeing a 7 percent drop as investors reacted to the uncertainty.
Lutnick Defends Tariffs Despite Economic Backlash
Despite concerns that the trade war could tip the U.S. economy into a recession, Howard Lutnick remained steadfast in his support for Donald Trump's aggressive tariff policies.
"These policies are the most important thing America has ever had," he insisted, rejecting fears that tariffs could trigger economic instability.
He blamed previous economic struggles on "
Biden nonsense" and dismissed concerns that market volatility signals deeper issues. His remarks echoed Trump's belief that tariffs are a powerful tool in renegotiating trade relationships and securing better deals for American industries.
Trump Floats Making Canada the 51st State
As tensions with Canada escalated, Donald Trump made an
eyebrow-raising suggestion: annexing Canada as the 51st U.S. state. "Canada should honestly become our 51st state. We wouldn't have a northern border problem. We wouldn't have a tariff problem," he said.
While the comment appeared to be made in jest, it underscored the president's frustration with Ottawa's trade policies. Trump has previously expressed a desire to strengthen U.S. control over North American trade and has even entertained the idea of forming economic coalitions that blur national borders.
The Rising Influence of Commerce Secretary Lutnick
Once seen as a consolation pick for Commerce Secretary, Howard Lutnick has emerged as a key player in Donald Trump's administration, often taking the lead in economic battles. A former Democrat and Wall Street heavyweight, Lutnick has defended Trump's tariff agenda and played a role in shaping new economic policies, including the controversial "gold card"
visa program, which would allow wealthy foreign investors a fast track to U.S. residency.
Despite initial skepticism about Lutnick's role, Trump has increasingly turned to him for economic guidance, calling on him frequently in meetings and highlighting his influence in shaping the administration's trade strategy.
