Canada has officially ended trade negotiations with the United States, with Prime Minister Mark Carney announcing a package of dollar-for-dollar retaliatory tariffs on American goods. The decision comes after weeks of stalled talks over Washington's imposition of tariffs on Canadian steel and aluminum.
Breakdown of Negotiations
According to a statement from the Prime Minister's Office, the talks broke down after the US refused to remove its punitive tariffs on Canadian exports. Carney said Canada would not accept a deal that leaves its industries at a disadvantage.
"We have consistently sought a fair agreement, but the United States has not shown a willingness to compromise on the core issues," Carney said. "Canada will respond in kind."
Dollar-for-Dollar Tariff Package
The new tariff package targets a wide range of US goods, including agricultural products, machinery, and consumer goods. The government estimates the tariffs will affect approximately $20 billion worth of American imports annually.
"This is a measured but firm response," said Trade Minister Mary Ng. "We are protecting Canadian workers and businesses."
Impact on Trade Relations
Economists warn that the escalation could hurt both economies, but Canadian officials insist they are prepared for the consequences. The move is seen as a significant shift in Canada-US relations, which have been strained since the start of the tariff dispute.
The government says it will monitor the impact on Canadian industries and adjust the tariff list if necessary. Further talks are not currently scheduled.
