For more on trade, tariffs and economics, earlier we were joined by Jacob Kirkegaard, a Senior Fellow at the Peterson Institute For International Economics in Washington. As Canada is playing tit for tat, he said it is Canada that has the most to lose.

JACOB FUNK KIRKEGAARD PETERSON INSTITUTE FOR INTERNATIONAL ECONOMICS "The most exposed country is Canada for the simple reason that US is ten times as big. So even if you do tit for tat, the effect that it will have on the United States will be you know roughly one tenth. So Canada has most to lose. But on the other hand, you could argue that Canada is allied with the rest of the world. And the Canadians have been smart. If you want to retaliate against a country in trade, you target politically vulnerable locations. But again as I said the most exposed country is clearly Canada."