Canada retaliates as trade war with US escalates

Canada has retaliated with new tariffs on U.S. goods, deepening a trade rift between the two nations after trade negotiations broke down Friday in Washington. The U.S. had previously imposed 50 percent tariffs on approximately $20 billion worth of Canadian exports, affecting products ranging from hockey sticks to cement.

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You’re at war when you get attacked. We got attacked.

Canadian Prime Minister Mark Carney declared, “You’re at war when you get attacked. We got attacked,” emphasizing the severity of the situation. He stated that the U.S. presented unacceptable terms during recent days, describing them as "uneconomic, unfair and undermined the net benefits for Canada." Carney asserted, “We cannot accept what they’ve offered, and we will not give what they’ve asked.” The new Canadian tariffs, set to take effect on September 8, will specifically target the U.S. steel and dairy sectors. More details are expected next week.

Despite Canadian Prime Minister Mark Carney's characterization of the U.S. proposals as unacceptable, a senior U.S. official described the recent talks in Washington as "candid and not acrimonious." U.S. Trade Representative Jamieson Greer informed Fox News that Washington is "moving forward with measures that respond to Canadian retaliation" and indicated that no new talks are scheduled with Canadian negotiators.

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In recent days, the United States proposed new terms that were uneconomic, unfair and undermined the net benefits for Canada, and called into question the reliability of any deal.

Canada has been seeking relief from U.S. tariffs on autos, steel, and aluminum, which have negatively impacted the country's economy and led to job losses. The White House had accused Canada of "discriminatory treatment" against U.S. alcohol, automobile, and dairy products. The U.S. tariffs were initially slated to take effect Wednesday but were postponed for three days by President Donald Trump, citing progress in talks. Carney cited last-minute U.S. demands, including restrictions on Canada's trade deals with other countries and "threats" to French language and "Quebec culture," as reasons for the deal's collapse.

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We cannot accept what they’ve offered, and we will not give what they’ve asked.

The escalating trade war has drawn criticism from Democratic lawmakers and governors of U.S. border states. New York Governor Kathy Hochul posted on X, “Needlessly picking fights with our allies and raising prices here at home. That’s Trump’s economic policy in a nutshell.”

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moving forward with measures that respond to Canadian retaliation.