Canada Calls Trade Dispute with U.S. an Economic War
Canadian Prime Minister Mark Carney stated that the trade dispute between Canada and the United States has escalated into an economic war. Trump imposed a 50% tariff on Canadian products worth $20 billion, and Canada is prepared to respond in kind. Carney pointed out that the Canadian team engaged in intensive negotiations with the U.S. for a new comprehensive trade agreement, but withdrew from talks due to unacceptable conditions proposed by the U.S. He emphasized that Canada would not accept the proposal and would not make concessions. The U.S. tariffs were originally set to take effect at midnight on August 19, but Trump postponed the deadline to August 22, stating that an agreement had been reached and was awaiting final documentation. Despite both sides being close to an agreement, it ultimately failed to materialize. Carney noted that the new conditions proposed by the U.S. at the end of negotiations included excluding medium and heavy trucks from tariff reductions, while other proposals were deemed unfair and detrimental to Canadian interests. U.S. Trade Representative Jamieson Greer accused Canada of making new demands and backtracking, which Carney denied. Canada's response is expected to shift towards imposing tariffs, with a complete plan to be announced in the coming days and set to take effect on September 8, targeting U.S. steel, dairy products, appliances, agricultural machinery, pulp, paper, and electronics.
-- Price
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