Canada announces retaliatory tariffs on US goods as trade dispute escalates

Nexus Europa Newsroom
Posted Aug 25, 2026, 08:30 PM UTC · In the digest of 2026-08-25-2030
Canada announces retaliatory tariffs on US goods as trade dispute escalates
Photo: BBC News

Canada has enacted retaliatory tariffs of up to 50 percent on $20 billion worth of US goods following the breakdown of bilateral trade negotiations with Washington.

Canada has formally responded to new American import levies by enacting retaliatory tariffs of up to 50 percent on approximately C$28 billion ($20 billion) worth of US products.

The countermeasures follow the breakdown of bilateral negotiations, which prompted US President Donald Trump's administration to impose 50 percent duties on a wide array of Canadian goods, representing roughly five percent of Canada's annual exports to the United States. Ottawa's response targets American items including steel, apparel, furniture, and agricultural products.

Canadian Prime Minister Mark Carney's government confirmed plans to match the levies "dollar for dollar" while offering financial support to domestic businesses and workers affected by the friction. President Trump previously warned that US duties could increase further if the bilateral dispute remains unresolved.

Sources: BBC News, Cyprus Mail, France24, STV News, Sweden Herald

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