Canada Declares Trade War on US, to Impose Dollar-for-Dollar Tariffs
Cgtn · 3 SOURCESabout 1 hour ago2 MIN
Summary
Canadian Prime Minister Mark Carney declared on Saturday that Canada is "at war" over trade with the United States and will impose retaliatory tariffs on US steel, electronics and other goods starting September 8 . The measures come after trade negotiations collapsed Friday, with Carney accusing Washington of introducing unfair last-minute demands despite the two sides appearing close to a deal earlier in the week . Canada will match Washington's new 50 percent tariffs dollar for dollar on approximately $20 billion worth of American imports .
Key Points
- Carney stated "You're at war when you get attacked. We got attacked" at a Saturday press conference in Ottawa
- US 50 percent tariffs took effect just after midnight Saturday, covering wine, furniture, dairy products, cement, clothing, fishing rods and hockey equipment
- Canada's counter-tariffs target dairy, steel, appliances, agricultural equipment, pulp and paper, and electronics sectors
- Trump signed proclamations on July 20 imposing additional tariffs, paused them for three days on Tuesday saying a deal was pending
- Heavy-duty trucks emerged as a key sticking point, with Washington blaming Canada's late demands
Why It Matters
The breakdown marks a severe deterioration in relations between two long-term allies and trade partners, complicating the future of the continental free trade agreement . Carney warned the US proposals would have restricted Canada's ability to pursue trade arrangements with other countries and undermined protections for French language, culture and national sovereignty .
The breakdown marks a severe deterioration in relations between two long-term allies and trade partners, complicating the future of the continental free trade agreement . Carney warned the US proposals would have restricted Canada's ability to pursue trade arrangements with other countries and undermined protections for French language, culture and national sovereignty .