Trump's Tariff Tussle Sparks US-Canada Trade War

Trade talks between the US and Canada have collapsed, with both sides blaming each other for the impasse. The breakdown comes just over a month before the US midterm elections, which could be disastrous for President Donald Trump.

Trump has imposed significant tariffs on Canadian imports, including dairy, cement, wine, and hockey equipment, with 50% duties applied to $20bn (£14.7bn) of goods. The move is expected to put pressure on American consumers through higher prices.

Critics argue that Trump's trade policies have contributed to inflation in the US, with research by the Federal Reserve Bank of St Louis identifying a clear correlation between tariffs and rising consumer prices.