US Imposes 50 Percent Tariffs on $20 Billion of Canadian Goods After Talks Collapse

The United States imposed 50 percent tariffs on roughly $20 billion of Canadian exports beginning Saturday, covering wine, furniture and hockey sticks among other goods. The duties followed the collapse of bilateral talks on Friday.

President Trump had claimed a deal existed earlier in the week. Canada ended negotiations, rejecting US demands for limits on its trade with third countries. Canadian Prime Minister Mark Carney said his government pursued every opportunity to protect Canadian workers and sovereignty. He added that America has changed and that Canada will diversify its trading relationships.

Three-quarters of Canada’s exports go to the United States. Carney announced retaliatory tariffs of equal value on US steel, dairy and farm equipment, set to begin September 8.

US Senate Majority Whip John Barrasso urged Canada to return to the table. Transportation Secretary Sean Duffy predicted Carney would do so quickly because the impact on Canada would be devastating. Senator Susan Collins noted the tariffs would raise costs for American families.

US trade officials indicated further measures could follow. The escalation marks a sharp break in a long-standing commercial relationship and raises prices for consumers on both sides of the border.