Canada hits back with tariffs on $20B of US goods as trade war escalates

Canada imposed retaliatory tariffs on approximately $20 billion worth of American goods Tuesday, sharply escalating the trade war between the two nations and threatening a major trading relationship. The new tariffs target steel, dairy, appliances, farm equipment, seafood, cheese, clothing, cosmetics and toilet paper, with some duties reaching 50%. Finance Minister François-Philippe Champagne stated Canada "did not choose this conflict" but must respond to economic integration being used as a weapon. The dispute could raise costs for American businesses and consumers less than 2½ months before midterm elections, further straining ties between the longtime allies.