In brief
Prime Minister Mark Carney blasted the latest wave of U.S. tariffs, labeling them a miscalculation that seeks to hurt and divide. He walked away from a deal he feared would compromise Canada’s sovereignty, saying U.S. demands were too great and offers too small. Canada will retaliate by matching U.S. tariffs dollar‑for‑dollar from 8 September, affecting steel, dairy, appliances and electronics, among others. The collapse of negotiations underscores the fragile state of North American trade relations and highlights the broader fallout from Trump’s tariff strategy.
Canada’s Prime Minister Mark Carney has said a fresh wave of U.S. tariffs on Canadian goods is a miscalculation designed to hurt and divide.
Carney said he walked away from a deal because he was not prepared to compromise Canada’s sovereignty.
He added that Canada will match U.S. tariffs “dollar‑for‑dollar” from 8 September, including levies on steel, dairy, appliances and electronics.
Both sides were optimistic before, but talks broke down after accusations of last‑minute changes and new demands.
New U.S. tariffs of up to 50 % will apply to a range of Canadian goods, on top of existing duties on steel, aluminium, automobiles and lumber.
Carney said Canada was reluctantly retaliating to protect its interests, with details to be released soon.
In his Saturday speech, the Prime Minister explained that the break in negotiations had cost the country dearly, having lost months of potentially stabilising trade.
The collapse follows over a year of on‑and‑off talks and a US‑imposed deadline to strike a deal or face further tariffs.
Carney also noted Canada and Mexico had requested a renewal of USMCA for another 16 years, but the U.S. declined.
Critics argue tariffs drive up prices and disrupt the global economy, contrary to Trump’s promise of boosting American manufacturing.
