Canada trade war escalates as Carney defies Trump tariffs

abc.net.au

The United States and Canada are escalating a trade war after President Donald Trump announced new 50 percent tariffs on Canadian vehicles, auto parts, and steel, prompting Prime Minister Mark Carney to vow retaliation. Carney stated he would not accept a deal at any cost. Talks collapsed last Friday, with Trump criticizing Canada's tariffs on American farmers. The US has already imposed levies on about 5 percent of Canadian exports, including hockey sticks. Canada will retaliate from September 8, targeting US steel, dairy, agricultural equipment, and electronics. US Vice-President JD Vance accused Canada of having one of the world's worst trade policies, while Carney said he would seek deeper ties with the European Union. The US consumes 70 percent of Canada's exports.


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