Canada is set to impose retaliatory tariffs on $27.6 billion worth of American imports on Tuesday as its trade dispute with the United States escalates.
The tariffs, ranging from 15 to 50 percent, will take effect at 12:01 A. and target US products including steel, dairy, appliances, agricultural equipment, pulp and paper, and electronics.
The Canadian government said the measures come “as a result of the United States’ decision to impose a 50% tariff on $27.6bn of Canadian goods effective August 22”.
“Canada’s counter-measures do not apply to US goods that are in transit to Canada on the day on which they come into force,” the government added.
Trade tensions have intensified in recent weeks as Canada’s Prime Minister Mark Carney and US President Donald Trump remain at odds over a potential agreement.
Carney last week urged the Trump administration to “start being serious” about negotiations.
Trump announced new 50 percent tariffs on Canadian cars and raw materials last month, accusing Canada of “ripping off” the US “for years”.
“We don’t need Canada, they need us!” Trump said.
French-language protections in Quebec have also emerged as a sticking point in negotiations. Carney has said Canada will not accept a trade agreement that weakens those protections.
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