CEO Of Canada’s Second-Largest Company Backs Trump’s Tariffs
The CEO of Canada’s second-largest publicly traded company voiced strong support for the measures President Trump has implemented while criticizing outgoing Prime Minister Justin Trudeau for failing to prevent the escalating trade conflict, according to a report on Sunday.
On Saturday, President Trump, 78, signed an executive order imposing a 25% tariff on Canadian goods, citing the nation’s lack of action in addressing his demands regarding fentanyl trafficking and illegal immigration.
“Canada prospers when it works in partnership with America. Success comes from ensuring America succeeds. Trump believes Canada has not upheld its end of the agreement,” Shopify co-founder Tobi Lutke posted on the X platform.
“These are actions every Canadian would want their government to take as well. These aren’t outrageous demands, even if they originate from an unpopular source. The tariffs will be deeply damaging to countless lives and small businesses,” he continued.
Lutke’s sharp criticism followed Trudeau’s announcement of 25% retaliatory tariffs on $107 billion worth of U.S. goods and his advocacy for policies targeting red states, as reported by the New York Post.
Shopify, founded by Lutke in 2006, is Canada’s leading e-commerce firm with a valuation of approximately $150 billion. The company is the nation’s largest tech firm and second in size only to the Royal Bank of Canada, according to The Post.
Lutke, whose net worth is estimated at $10 billion, is the wealthiest citizen in Canada, the report also noted.
“True leadership is about making the right decisions, not just the popular ones. Retaliation won’t yield a favorable outcome. The U.S. will barely notice, while Canada will suffer,” Lutke remarked on Trudeau’s counter-tariff strategy. “This is the wrong move when far better options were available.”
In 2023, Canada ranked as the United States’ largest overall trading partner, with bilateral trade exceeding $900 billion in goods and services.
According to U.S. Census Bureau data, the United States imported about $377 billion in goods from Canada last year while exporting roughly $322 billion to its northern neighbor.
The newly imposed tariffs are expected to hit Canada particularly hard, given that nearly 75% of its exports are destined for the U.S., whereas only about 13% of U.S. exports go to Canada, The Post reported, citing Census data.
Trump’s tariff package includes a reduced 10% tariff rate on energy resources. In 2023, Canadian crude oil accounted for approximately 24% of U.S. refinery production, as noted by the Energy Information Administration.
Trudeau, 53, who will remain Prime Minister until the Liberal Party selects a new leader in March, traveled to Mar-a-Lago in November to meet with Trump following the then-president-elect’s initial tariff warning.
During the meeting, Trudeau sought to mend relations with Trump and dissuade him from implementing the tariffs, which could inflict severe economic harm on Canada. However, critics argued that Trudeau’s visit projected weakness and submission.
On Sunday, Trump acknowledged that the tariffs could cause "some pain—maybe, maybe not!" but insisted that the move was “a necessary price to pay.” The 47th president expressed frustration over what he characterized as excessive U.S. support for Canada through trade policies.
“We funnel hundreds of billions of dollars into subsidizing Canada. Why? There’s no reason for it. We don’t need anything they have,” Trump wrote on Truth Social. “Canada should become our 51st state—lower taxes, stronger military protection… AND NO TARIFFS.”
Canadian elections are scheduled for October, according to The Post.
On Friday, White House Press Secretary Karoline Leavitt confirmed the imposition of Trump’s tariffs.
“On his first day, President Trump declared a national emergency at the southern border to halt the four-year-long invasion of illegal immigrants enabled by the previous administration,” she stated to reporters.
“Furthermore, President Trump signed an executive order to end catch-and-release policies and resume construction of his highly effective border wall. By leveraging every available federal power, President Trump has delivered a clear message to the world: America will no longer tolerate illegal immigration,” she added.