Still, Mr Trump pledged in his inaugural address that tariffs would be coming and said foreign countries would be paying the trade penalties, even though those taxes are currently paid by domestic importers and often passed along to consumers.
“If they decide to take a close look at the US-Canadian relationship when it comes to trade that’s a very good thing,” Mr LeBlanc said at a Cabinet retreat in Montebello, Quebec. “Both countries are stronger and more secure when we respect and honour the comprehensive free trade agreement.”
Mr Trump said he would establish an external revenue service to collect all tariffs, duties and revenues and that it would lead to “massive amounts of money pouring into our country coming from foreign sources.”
Foreign Minister Melanie Joly said they are “very cautious” but they know they can make sure it is a win-win relationship.
Danielle Smith, the premier of Canada’s oil-rich province of Alberta, said she was “pleased to see that today President Donald Trump has decided to refrain from imposing tariffs on Canadian goods at this time as they study the issue further.”
“We appreciate the implied acknowledgement that this is a complex and delicate issue with serious implications for American and Canadian workers,” Ms Smith said in a post on X.
Ms Smith said avoiding tariffs will save hundreds of thousands of Canadian and American jobs across every sector. “Despite the promising news today, the threat of US tariffs is still very real,” she posted.
“Nobody is giving us any assurances,” Ms Hillman told the Canadian Broadcasting Corporation.
“We will feel better when I think we see the details of what he’s asking for in terms of a study.”
Ms Hillman said she would return to Canada on Tuesday to brief the Cabinet.
Canada is one of the most trade-dependent countries in the world, and 75% of Canada’s exports, which include automobiles and parts, go to the US.
Canada is the top export destination for 36 US states.
Nearly US 2.7 billion dollars (£2.2 billion) worth of goods and services cross the border each day.
Despite Mr Trump’s claim that the US does not need Canada, a quarter of the oil America consumes per day is from there.
Mr Trump said he could impose 25% tariffs on Canada and Mexico starting on February 1.
