Canada and US escalate trade war over auto tariffs

bbc.com

President Donald Trump threatened Monday to raise US tariffs on Canadian automobiles and auto parts from 25% to 50% starting January 1, escalating the trade war after talks collapsed last week. Prime Minister Mark Carney accused Trump of wanting to "destroy" Canada's auto industry and said he would only resume negotiations if the US adopts the "right attitude." Canada plans reciprocal "dollar-for-dollar" tariffs on US goods September 8, while Ontario's premier told Trump to "kiss my ass." Canada supplies 60% of US crude oil imports and nearly all US natural gas exports. The dispute also threatens the USMCA trade pact's future, with Canada seeking a 16-year extension that the US rejects in its current form.


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