Canada will announce retaliatory tariffs against U.S. on Tuesday, official tells AP

Canada is set to announce retaliatory tariffs against the United States on Tuesday, an official familiar with the plans told The Associated Press. This move escalates a trade fight that has worsened significantly since negotiations with the Trump administration collapsed.

The official spoke on condition of anonymity because they were not authorized to discuss the plans publicly. Prime Minister Mark Carney indicated on Monday that Canada might need to shift from matching U.S. tariffs dollar for dollar. Instead, he suggested more targeted retaliation aimed at protecting Canadian workers and businesses.

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An attitude at the negotiation table that Canada is a subsidiary of the United States" is "not something we're going to accept.

President Donald Trump intensified the dispute on Monday, urging Canadian leaders to "fall in line" or face consequences "far WORSE" than existing tariffs. He also threatened new 50% tariffs on Canadian vehicles, auto parts, and steel.

Carney accused Washington of attempting to subordinate Canada. He stated that U.S. trade demands confirmed Canada's fears that the United States sought to dismantle major Canadian industries. "An attitude at the negotiation table that Canada is a subsidiary of the United States" is "not something we're going to accept," Carney said.

In French, Carney was even more direct, saying, "We learned during the negotiations that the Americans want to destroy our major industries, including autos, steel and aluminum. That was one of the main reasons we said no. It was a bad deal."

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We learned during the negotiations that the Americans want to destroy our major industries, including autos, steel and aluminum. That was one of the main reasons we said no. It was a bad deal.

The strong words from both sides highlight the deterioration of U.S.-Canada relations. This follows Carney's departure from trade negotiations with the Trump administration late Friday, which triggered the president's threatened 50% tariffs on approximately $20 billion worth of Canadian goods the next day.

Carney cast doubt on the U.S.'s reliability as a partner, stating Canada was finding reliable partners "everywhere in the world, except in the United States. Except in the United States. And Russia."

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Canada has been ripping off the United States of America for years.

Trump responded on Monday with further tariffs, warning he would impose them on Canada's auto industry starting next year. "Canada has been ripping off the United States of America for years," Trump wrote on social media, criticizing what he called the country's "ridiculously high tariffs" on American farmers.

Carney asserted that Washington's auto-sector proposals would gradually dismantle Canadian production. "This is the most successful automotive partnership in history," Carney said, referring to the integrated Canada-U.S. industry. Meanwhile, Ontario Premier Doug Ford also expressed strong criticism, telling The Associated Press that Trump had underestimated Canadians' resolve to endure economic hardship rather than yield to U.S. pressure.

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This is the most successful automotive partnership in history.