Canadian Prime Minister Justin Trudeau on Thursday reacted to US President-elect Donald Trump's Canada-US merger proposal, saying he once jokingly offered to trade Vermont and California for some Canadian provinces.
Speaking to MSNBC, Trudeau recalled his conversation with Donald Trump from November last year when the latter proposed the idea of Canada joining the US as its 51st state.
The Canadian leader said that he then jokingly responded to Trump’s suggestion by offering to trade a few places, specifically Vermont or California in exchange.
However, Trudeau, who recently announced his decision to step down as Canadian Prime Minister, revealed that Trump did not find his exchange humorous after his suggestion.
Trudeau says Trump trying to distract the world over tariff hikes
Addressing business leaders on Thursday, Trudeau explained that Trump’s comment about Canada's merger with the US was merely a tactic to divert attention to the potential negative impact of his proposed tariff hikes on Canadian goods.
The US president-elect has been pushing for a 25% tariff on Canadian imports, a proposal Trudeau argued would lead to higher costs for US consumers and ultimately stoke inflation.
READ | What does Canadian PM Justin Trudeau's resignation mean for Indian students?
{{/usCountry}}The US president-elect has been pushing for a 25% tariff on Canadian imports, a proposal Trudeau argued would lead to higher costs for US consumers and ultimately stoke inflation.
READ | What does Canadian PM Justin Trudeau's resignation mean for Indian students?
{{/usCountry}}A hike in tariffs on imports "would have negative impacts for both Canada and the United States," Trudeau told business leaders, according to his office, as reported by news agency Reuters.
Earlier this week, Trudeau said there was not "a snowball's chance in hell" that Canada would become part of the United States.
US President-elect Donald Trump recently proposed using “economic force” to pressure Canada into becoming the 51st state, citing concerns over US military assistance and trade imbalances.
Trump could declare economic emergency for tariffs
President-elect Donald Trump is reportedly considering declaring a national economic emergency to give him legal cover to impose tariffs, reported Bloomberg.
READ | 'Girl, you're not...': Elon Musk's sassy reply to Justin Trudeau over US-Canada merger post
Under the International Economic Emergency Powers Act (IEEPA), the president not only has the power to take certain actions when a national economic emergency exists but also the authority to declare such an emergency.