The reason for the call was the US imposition of tariffs on Canadian steel and aluminum, which Trump has justified on national security grounds. And he is also expected to attend the annual North Atlantic Treaty Organisation summit to be held in Brussels in mid-July. President Trump believes it "rips off" America and reduces USA power.
The other 6 members of the G7 are holding out hope they can find common ground with Trump, but are prepared to stand up to U.S. protectionism.
Canadian Prime Minister Justin Trudeau called the tariffs "totally unacceptable" and "an affront" to Canadian soldiers who have served alongside Americans in numerous conflicts. According to a survey of US CEOs, many are scaling back their hiring and spending plans due to fears of a trade war.
Mexico announced the levies this week in retaliation to Trump's decision to slap tariffs on metal imports from Mexico and other countries. "The impact on Canada and ultimately on workers in the U.S. won't be a laughing matter".
"The U.S. has an increased economic value of more than 7 Trillion Dollars since the Election".
Other countries that export pork to Mexico have been allocated a collective tariff-free quota of 350,000 tonnes that will remain in effect until the end of this year.
"Canada is a different country than Mexico, they have different problems, and you know, he's believed that bilaterals have always been better", says Kudlow. By comparison, China buys just $116 billion. In fact, Canada wasn't even a country until 1867.
Canada had dug in on the dairy issue in the face of USA demands, calling it a non-starter.
Some White House officials are discussing additional economic penalties in response to the $13 billion in retaliatory tariffs Trudeau has promised, the Washington Post reported Wednesday.
So far, only Canada and Mexico have done so.
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The US tariffs have been condemned by nations across the world, with Canada last week announcing it will impose tariffs on as much as $C16.6 billion of US steel, aluminium and other products from July 1.
The Mexican tariffs target USA pork, produce, bourbon, and steel - products chosen with a political objective in mind.
While tariffs on these products won't have much of an impact on the overall USA economy, they could be especially painful for particular industries or regions.
The European Union launched a challenged to the tariffs with the World Trade Organisation (WTO). "Trump delivering well beyond what Putin had ever hoped for", Michael McFaul, a USA ambassador to Russian Federation under Obama, said on Twitter. Certain cheeses and bourbon will be hit with 20% to 25% duties.
Matthew Rooney, a former US state department official in charge of the Canada file during the Obama administration, said there have been hard times in the past.
Trudeau said in an interview with NBC on Sunday: "One of the things that I have to admit I'm having a lot of trouble getting around is the idea that this entire thing is coming about because the president and the administration have decided that Canada and Canadian steel and aluminum is a national security threat to the United States".
"Let us modernise what needs to be modernised", he added in reference to the WTO.
But President Trump's steel and aluminum tariffs, it turned out, didn't work for everyone. When President Bush tried a similar tariff in 2001, it was estimated that it cost American consumers $400,000 for each domestic steel job saved.
This, however, isn't the first time the state's apple industry has been impacted by a trade dispute with Mexico.
"Whatever kind of opportunity is out there remains to be seen", Powers said.
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