As Trump tariffs sink in, Canadian companies pivot from US to new markets | U.S. & World [Video]

By Promit Mukherjee

OTTAWA (Reuters) -A manufacturer of capsules and tablets for the pharmaceuticals industry is scouting Asia for new partners. A steel component maker, with a client base in the United States stretching back 35 years, is telling customers to expect to pay higher prices. Another company, that produces mascot costumes for sporting or school events, is lowering its prices so as not to lose American customers.

President Donald Trump’s tariff war – and his repeated threats to annex Canada – are upending decades of close trade ties between the two North American neighbors, and prompting many small-scale Canadian manufacturing firms to revise their long-term business strategies.

Prime Minister Mark Carney, who led the Liberal party to victory last month by campaigning to stand up to Trump, is scheduled to meet the U.S. President at the White House on Tuesday. He has repeatedly said the old relationship with the United States is …