Canada - The Canadian government is reportedly preparing to launch billions of dollars in tariffs against the US in response to economic pressure from President Donald Trump.

According to the Associated Press, a senior Canadian government official said Wednesday that the country will soon introduce $29.8 billion in retaliatory tariffs.

The move comes after Trump placed 25% tariffs on aluminum and steel, both of which Canada is the largest foreign supplier of.

Canada's Ontario province had decided to impose an electricity surcharge on three American states in retaliation to earlier US levies but halted the move in an attempt to defuse the situation.

Canada Trudeau turns to King Charles for help against Trump's threats

Trump's tariffs officially went into effect early Wednesday and are expected to raise production prices on everything from home appliances to automobiles and threaten to lift consumer costs down the road.

When the president took office, he originally threatened to enact the tariffs as part of his effort to stop drugs from being brought over the northern border.

In recent weeks, his intentions have shifted, as he has repeatedly suggested Canada should be absorbed into the US.

In a Truth Social post on Tuesday, Trump said Canada should join the US as a 51st state, adding, "This would make all tariffs, and everything else, totally disappear."