Canada Hits Back at US Tariffs with Dollar-For-Dollar Retaliation

Canada has entered a 'trade war' with the United States after negotiations broke down and new American tariffs of 50 percent on $20 billion worth of Canadian products took effect.

Prime Minister Mark Carney announced that Canada would respond to the new tariffs with dollar-for-dollar counter-tariffs, targeting US goods including steel, dairy products, home appliances, agricultural equipment, pulp and paper, and electronics.

The collapse of the negotiations was attributed to last-minute demands from the American side, which pushed Ottawa to withdraw from the agreement. Carney stated that Canada had made concessions in an effort to reach a comprehensive deal but felt the US was asking for too much.

Carney emphasized that Canada is not seeking a trade confrontation with its largest economic partner but cannot accept conditions it considers harmful to its economy or restrictive to its sovereignty.