Canada will impose new tariffs on imports of US steel, electronics and other products from September 8 after trade negotiations with Washington failed to produce an agreement, Prime Minister Mark Carney said on Saturday.
The move comes in response to US President Donald Trump’s 50% tariffs on Canadian imports, which took effect at midnight.
Carney said Canada would match the new US duties dollar for dollar to protect Canadian workers, businesses and industries.
“Canada will match Washington’s new tariffs dollar for dollar to protect Canadian workers, farmers, families, and businesses,” Carney said.
The Canadian measures will cover US steel, dairy products, appliances, agricultural equipment, pulp and paper, electronics and some other goods. Ottawa is expected to provide further details in the coming days.
Trade Talks Collapse
The decision followed several days of negotiations that failed to resolve differences between the two countries, raising concerns about the future of the US-Mexico-Canada trade agreement.
Carney said last-minute US demands had undermined the possibility of a deal, describing them as “uneconomic” and “unfair”.
“We cannot accept what they have offered, and we will not give what they have asked,” he said.
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The Canadian government plans to announce support measures next week for industries affected by the US tariffs.
US Rejects Further Talks
US Trade Representative Jamieson Greer said no further negotiations with Canada were currently planned and warned that Washington would respond to Canada’s retaliatory measures.
The new US tariffs affect about $20 billion worth of Canadian exports, including products such as wine, furniture, clothing, dairy goods and hockey equipment.
The dispute has heightened tensions between the two long-standing trade partners, with Canada heavily dependent on the US market for its exports.
