Canada has announced retaliatory tariffs on selected United States goods after trade talks between the two countries broke down.
Canadian Prime Minister Mark Carney announced the measures on Saturday, accusing the US of making an unfair trade offer during negotiations in Washington.
The development came after new 50 per cent US tariffs on about $20 billion worth of Canadian goods took effect.
The affected Canadian exports include hockey sticks, cement and other products, accounting for about 5.5 per cent of Canada’s exports to the US.
Carney said Canada rejected the US proposal because Washington was demanding more concessions than it was offering in return.
“We cannot accept what they’ve offered, and we will not give what they’ve asked,” he said.
He accused US President Donald Trump of starting a trade war, adding, “You’re at war when you get attacked. We got attacked.”
Under the new measures, Canada will impose tariffs on US steel and dairy products from September 8. Carney said further details would be released next week.
The US had reportedly offered to reduce tariffs on Canadian steel, aluminium, automobiles and lumber in exchange for concessions from Ottawa.
Canada has been seeking relief from US tariffs on key sectors, which its government says have affected businesses, jobs and the wider economy.
The latest dispute comes as both countries prepare to renegotiate the United States-Mexico-Canada Agreement (USMCA).
Carney said Canada must also reduce its dependence on the US, which currently accounts for about 70 per cent of Canadian exports.
“We’ve been under no illusions. We recognised from the start that America has changed,” he said.
The latest measures could further strain relations between the two neighbours and increase pressure on both governments to find a way to resolve the trade dispute.
