US President Donald Trump has responded sharply after Canada announced retaliatory tariffs on American goods. The move follows the collapse of trade negotiations between the two neighbouring countries.
Trump criticised Canadian Prime Minister Mark Carney after Ottawa announced new tariffs targeting US products.
โCanada wants the benefits of being a state, without being one!!!โ Trump said in a post on Truth Social.
โThey have also charged our great farmers, for many years, massive amounts of tariffs. No more!!!โ he added.
Canada Announces Retaliatory Tariffs
Carney announced on Saturday that Canada would introduce new tariffs on selected US goods.
The measures will take effect on September 8. They will target industries including US steel and dairy.
Canada plans to match the latest US tariffs on a dollar-for-dollar basis.
The decision followed the failure of three days of intensive trade negotiations.
The latest US tariffs imposed a 50% levy on around $20 billion worth of Canadian goods.
The affected products include hockey equipment, cement and several other goods.
Carney defended Ottawaโs response and rejected the terms proposed during the negotiations.
โYouโre at war when you get attacked. We got attacked,โ Carney said.
Trade Talks Collapse Between Neighbours
The two countries failed to reach an agreement after negotiations broke down late Friday.
Both governments blamed the other side for the failure.
Carney said Washington introduced new demands during the final stage of negotiations.
โIn 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,โ he said.
โWe cannot accept what theyโve offered, and we will not give what theyโve asked.โ
The failed talks have also created fresh uncertainty around the future of the US-Mexico-Canada trade framework.
Trump Maintains Pressure on Canada
Trump had earlier expressed hope that Washington and Ottawa could reach a deal.
He also pointed to his relationship with Carney as a reason for optimism.
However, the Canadian prime minister said the final US demands made an agreement impossible.
US Trade Representative Jamieson Greer said Washington had offered concessions during the negotiations.
According to Greer, the proposals included lower tariffs on Canadian steel, aluminium and automobiles.
The US also offered to remove a recently imposed tariff on Canadian lumber.
Greer said those proposals would have provided Canada with โthe most preferential treatment of any trading partner.โ
However, he said Washington would now proceed with measures responding to Canadaโs retaliation.
Tariff Dispute Deepens Economic Tensions
The latest exchange marks another setback in economic relations between the United States and Canada.
The countries maintain deeply connected supply chains across several major industries. Therefore, prolonged tariff disputes could increase pressure on businesses operating across the border.
Canadaโs new measures are expected to focus on American products including steel, dairy and other goods.
Meanwhile, Washington has already expanded tariffs affecting a wide range of Canadian exports. The latest US measures cover about 5% of Canadaโs exports to the United States.
For now, neither side has announced a new round of formal trade negotiations.
The escalating tariff dispute has consequently placed further strain on one of the world’s closest economic relationships.
