Canada hits back with US$20 billion in tariffs on US goods

Canada announced retaliatory tariffs on US goods worth US$20 billion, effective September 8, with duties ranging from 15 to 50 percent across 700 products, intensifying the trade war between the allies. The counter-tariffs match US levels and target industries including steel, dairy, and electronics, with a C$7.5 billion aid package for affected firms and workers. Finance Minister Francois-Philippe Champagne said Canada "will meet the moment" amid the unprecedented challenge. The US tariffs, which hit about 5.5 percent of Canadian exports, followed collapsed trade negotiations. Analysts warn of further escalation, as President Trump has threatened to double auto tariffs by 2027 and made inflammatory remarks about Canada.