Forex
Trump Admin Warns Canada: Trade War Will Be Devastating
The Trump administration has issued a warning to Canada that it would be 'foolish' to engage in a trade war, predicting a 'devastating' impact on its economy.
Negotiations between Washington and Ottawa broke down on Friday, leading to the implementation of new US tariffs affecting around $20 billion worth of Canadian goods, or 5.5 percent of Canada's exports to the United States.
Canada responded by announcing retaliatory tariffs targeting the US steel and dairy industries, set to take effect on September 8.
US Transportation Secretary Sean Duffy stated that Canada would come out worse in a trade war with President Donald Trump, citing its reliance on US markets, which account for roughly 70 percent of Canadian exports.