Washington Braces for Economic Blow as US-Canada Trade Tensions Escalate

A new round of U.S. tariffs on Canadian imports has taken effect after talks between Washington and Ottawa broke down.

The tariffs, which are worth $20 billion, will hit various products including booze, dairy goods, and other items.

Canadian Prime Minister Mark Carney described the situation as an 'economic war' with its neighbor.

Washington is one of the states most affected by these trade tensions, with its economy heavily dependent on international trade.