Canada Strikes Back with $20 Billion Retaliatory Tariffs

Canada has imposed retaliatory tariffs on about $20 billion worth of American goods in response to the US's decision to slap 50% tariffs on Canadian exports. The tariffs will take effect on September 8, affecting over 700 products including steel, aluminum, furniture, clothing, and dairy products.

The move is part of a trade war between the two nations that has been escalating sharply in recent days. Canadian Prime Minister Mark Carney accused Washington of trying to subordinate Canada and said US demands during failed talks showed Americans wanted to 'destroy our major industries.'

US President Donald Trump intensified the confrontation on Monday, telling Canadian leaders to 'fall in line' or face consequences 'far WORSE' than existing tariffs. He also threatened new 50% tariffs on Canadian vehicles, auto parts, and steel.

Canada's goal is not to raise revenue but to protect its companies and reduce US imports. The country has provided a support package for workers and businesses affected by the dispute worth $7.5 billion in Canadian dollars ($5.4 billion in US dollars).