Canada is bracing for the fallout of President Donald Trump’s escalating trade war, with economists warning of spiking grocery prices, major job losses and even a potential recession if threatened

President Donald Trump said countries, whether staunch allies or adversaries, would be subject to at least a 10% tariff.

Trump administration officials say that tariffs will spur both foreign and domestic companies to expand in the U.S.; lead to more balanced trade with economic allies; reduce the U.S. trade deficit with other countries; and generate federal revenue that can be used for other priorities.

As President Donald Trump’s tariff plan nears, Canadian politician Maxime Bernier calls for scrapping all tariffs, saying Canada’s duties hurt its own people more than the U.S., and a new trade era should begin.

As markets worldwide slump in the wake of President Donald Trump’s rollout of his “liberation day” tariffs, the exemptions that Trump made are among the things that stand out.