Canada Vows 'War' With Retaliatory Tariffs After US Levy

Canada is escalating its trade conflict with the United States, announcing retaliatory tariffs on American goods in response to U.S. levies. Prime Minister Justin Trudeau declared the situation a "war," vowing to protect Canadian workers and businesses.

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Canada will respond dollar-for-dollar to Washington's new tariffs to protect Canadian workers, farmers, families, and businesses.

Starting next month, Canada will impose tariffs on U.S. steel, appliances, and other products. This move comes after days of intense trade negotiations between the two countries failed to yield an agreement. The U.S. had previously announced a 50% tariff on about $20 billion of Canadian goods, including wine, furniture, dairy products, cement, and hockey equipment, effective immediately.

"Canada will respond dollar-for-dollar to Washington's new tariffs to protect Canadian workers, farmers, families, and businesses," Trudeau stated at a press conference. He characterized the U.S. action as an "attack" and declared, "We have been attacked, and we are going to war."

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We have been attacked, and we are going to war.

Trudeau asserted that Canada would not accept the terms proposed by the U.S. and would not concede to their demands. He indicated that the U.S. administration's last-minute demands were unfair and undermined the potential for a deal. Some of these demands, he suggested, could impact Canada's culture, language, and sovereignty, though he did not elaborate on specifics. Canada plans to announce the exact details of its retaliatory tariffs soon and will also introduce measures to support industries affected by the U.S. tariffs, anticipating a prolonged trade dispute.

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The U.S. presented new conditions that are unfair and undermine the potential gains Canada could achieve. This raised questions about the credibility of the agreement itself.