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The CEO of Canada’s second-largest publicly traded company says Canadians want their government to do all the things that President Trump is demanding — and slammed outgoing Prime Minister Justin Trudeau for not preventing the trade war.
Trump, 78, on Saturday, signed an executive order to slap 25% across-the-board tariffs on America’s northern neighbor, citing its failure to meet his demands on helping crack the fentanyl and illegal immigration trade.
“Canada thrives when it works with America together. Win by helping America win. Trump believes that Canada has not held its side of the bargain,” Tobi Lutke, who co-founded Shopify, wrote on X.
“These are things that every Canadian wants its government to do, too. These are not crazy demands, even if they came from an unpopular source. These tariffs are going to be devastating to so many people’s lives and small businesses.”
Lutke’s withering critique came in response to a clip of Trudeau announcing 25% retaliatory tariffs on $107 billion worth of US goods and pushing for policies targeting red states.
Shopify, the e-commerce giant that Lutke co-founded in 2006 is worth about $150 billion. It’s Canada’s biggest tech company and biggest ever startup — and second only to the Royal Bank of Canada in size.
Lutke is worth an estimated $10 billion — and is one of Canada’s richest people.
“Leadership is about doing what’s right, not what is popular. And hitting back will not lead to anything good. America will shrug it off. Canada will decline,” Lutke added about Trudeau’s planned retaliation.
“It’s simply the wrong choice in a possibility space where much better options would have been available.”
Trudeau has warned Canadians that tough times are ahead amid the simmering trade war with the US.
Canada was the America’s biggest overall trading partner in 2023, with more than $900 billion in goods and services exchanged by the two countries.
Last year, the US imported some $377 billion worth of goods from Canada while exporting $322 billion, according to data from the US Census Bureau.
The tariffs are poised to hit Canada especially hard because roughly 75% of its exports go to the US while only about 13% of American exports go to Canada.
Trump’s massive tariff against Canada also includes a lower 10% tariff rate on energy resources. For context, in 2023, Canadian crude oil exports accounted for about 24% of US refinery production, according to data from the Energy Information Administration.
Trudeau, 53, who is poised to remain PM until his Liberal Party elects a new leader in March, had jetted down to Mar-a-Lago last November to meet with Trump after the then-president-elect first issued the threat.
At the time, the outgoing Canadian leader attempted to make nice with Trump and dissuade him from following through on the tariff threat, which could wreak havoc on Canada’s economy.
The visit also riled Canadian critics who felt that Trudeau looked weak.
On Sunday Trump acknowledged that the tariffs will “maybe (and maybe not!)” cause “some pain” but argued that the move will be “worth the price that must be paid.”
The 47th president also vented about the US helping Canada via its trade policies.
“We pay hundreds of Billions of Dollars to SUBSIDIZE Canada. Why? There is no reason. We don’t need anything they have,” he wrote on Truth Social. “Canada should become our Cherished 51st State. Much lower taxes, and far better military protection…AND NO TARIFFS.”
Trudeau and other Canadian leaders have adamantly rejected Trump’s musings of making its neighbor a state.
Canada is poised to hold elections in October.
