Canada Vows Retaliatory Tariffs as US Trade Talks Collapse

President Donald Trump's 50% tariffs on Canadian goods took effect Saturday, prompting Prime Minister Mark Carney to promise dollar-for-dollar retaliatory tariffs starting Sept. 8. The new taxes affect roughly $20 billion in Canadian exports annually. Canada walked away from negotiations Friday after concluding U.S. demands were excessive. Carney's retaliation targets steel, dairy, appliances, agricultural equipment, pulp, paper and electronics. He accused Washington of using "economic integration as a weapon," while U.S. trade negotiator Jamieson Greer claimed Canada rejected a deal cutting tariffs on steel, autos and lumber. The tariffs apply to about 5% of Canada's U.S. exports, including hockey sticks, wine, cement and agricultural products. Some goods previously protected under the USMCA trade pact are now affected, raising questions about the agreement's future.