Trump threatens 50% tariffs on Canadian steel and autos as trade war escalates

President Donald Trump threatened Monday to raise tariffs on Canadian steel and automobiles to 50 percent, escalating a trade war after negotiations collapsed. The threat follows Friday's breakdown in talks, with Canada accusing Washington of demanding too much and attacking French-language protections. Trump claimed Canada has exploited the U.S. for years, announcing the higher tariffs would take effect January 1, 2027. New U.S. tariffs on about $20 billion in Canadian goods took effect Saturday, prompting Ottawa to announce retaliatory duties starting September 8. A poll shows 76 percent of Canadians support ending negotiations, while the U.S. faces inflation risks from the escalating dispute.