The Canadian candidate for prime minister said she believes Trump is smart and is threatening to impose tariffs on allies in part to pave the way for tougher policies on China.

The former finance minister said her plan calls for the immediate release of a long list of $200 billion in retaliatory tariffs to deter Trump from making good on his threat to impose 25 per cent tariffs on Canadian imports as soon as February.

Canada Liberal Leadership Candidate Chrystia Freeland says Canada should respond now to President Donald Trump's threat of tariffs. She says a list of possible tariffs Canada could impose on the US should be published.