President Donald Trump could announce his most sweeping tariffs yet Wednesday, unveiling reciprocal tariffs that Trump argues would level the playing field for the U.S. in global trade and would instantly become the hallmark economic policy of his nascent second term, though economists project they would increase inflation this year.

President Donald Trump’s desire to get even on countries by matching tariffs they have on American goods could come at a steep cost.

Trump says he will levy a 25% import tax on all steel and aluminium products entering the US from 12 March, meaning both sides have a month to negotiate. Canada is the top exporter of both metals to the US.

Canadian Prime Minister Justin Trudeau said on Tuesday that Canada would seek to highlight the negative impact of the United States' steel and aluminium tariffs and that - if needed - the response from Canada would be firm and clear.