Prime Minister Mark Carney vows retaliatory measures after US tariffs hit Canadian goods following failed negotiations.
Published
The United States and Canada are now in a full-scale trade war after the Trump administration imposed 50 percent tariffs on a wide range of Canadian goods following the collapse of trade talks late Friday. The tariffs represent a dramatic escalation in tensions between the two longtime allies and trading partners.
Canadian Prime Minister Mark Carney responded forcefully during a Saturday press conference, declaring that Canada is now "at war" with the United States over trade. Carney accused President Donald Trump of miscalculating by escalating his tariff attack on Canada, stating that the US president underestimated Canadian resolve.
The Canadian prime minister announced that Canada would implement its own retaliatory tariffs on US goods, vowing to "match Washington’s" trade measures. Carney promised additional retaliatory measures would follow, framing the response as necessary to defend Canadian sovereignty and economic interests.
The breakdown in negotiations marks a significant deterioration in US-Canada relations, which have long been characterized by deep economic integration. Businesses on both sides of the border have expressed concern about the escalating trade conflict and its potential impact on supply chains and consumer prices.
Sources: 1. Al Jazeera: Iran warns nearby nations against joining US ‘economic war’ efforts — https://www.aljazeera.com/news/2026/8/22/iran-warns-nearby-nations-against-joining-us-economic-war-efforts?traffic_source=rss (src1) 2.