A full-blown trade war between the U.S. and Canada could lead to a recession in both countries, economist says.

President-elect Donald Trump's proposed 25% tariff on goods from Mexico and Canada would harm relations between the United States and Mexico and Canada, President Joe Biden told reporters on Thursday.

A government official says Canada is already examining possible retaliatory tariffs on certain items from the United States should President-elect Donald Trump follow through on his threat to impose sweeping tariffs on Canadian products.