The US tariffs came into force on Saturday, ranging from hockey sticks to tongue depressors. Trade experts have predicted that the tariffs could result in some job losses, but the biggest impact is expected to be political, triggering fresh tension between the neighbours.
Canadian trade minister, Dominic LeBlanc, left, and US trade representative Jamieson Greer, speak to reporters in Washington DC on Friday.
Both sides blamed the other for the breakdown in talks on Friday. Carney told Canadian journalists that the country was “at war” over trade with the US, after Trump “miscalculated” by escalating his tariff attack.
“You’re at war when you’re attacked, and we got attacked,” the Canadian prime minister told reporters in Ottawa. “We cannot accept what they’ve offered and we will not give what they’ve asked.”
Jamieson Greer, the US trade representative, has said the US was compelled to act after a year of retaliatory measures by Canada. He told Fox & Friends Weekend: “We’ve said enough and so we’ve taken countermeasures. Our interest is in protecting American workers and protecting American supply chains.”
Carney, who previously served as the governor of the Bank of England, was elected as Canada’s prime minister last year after campaigning to lead a fightback against Trump, who has previously suggested he wants to make Canada a 51st state with “economic force”.
Carney’s “dollar for dollar” tariffs are expected to take effect from 8 September, with new levies on steel, dairy, appliances and electronics. The escalation has also called into question the future of the North American trade pact between the US, Canada and Mexico, known as USMCA.