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The United States is set to impose 50 per cent tariffs on $20 billion worth of Canadian imports after last-ditch negotiations failed to resolve the latest
strain in already tense relations between the historic allies. US Trade Representative Jamieson Greer confirmed the breakdown in negotiations, calling it "a missed opportunity for Canada to partner with the United States," and said the 50 per cent tariffs are now kicking in. In response, Canadian Prime Minister Mark Carney said Canada would match the new US tariffs dollar for dollar.
US-Canada Trade Talk Collapse, Washington To Impose 50% Tariffs
The United States will impose 50 per cent tariff on $20 billion worth of Canadian products. The import taxes will hit about 5 per cent of what Canada ships to the United States every year, including products ranging from hockey sticks to tongue depressors.
"Tonight, Canada declined to finalise the trade deal under the terms agreed earlier this week. Despite the US offer to Canada to receive the best treatment of any major exporter to our market, new demands and walk backs of other commitments by Canada have upended the careful balance reached in the past days," US Trade Representative Jamieson Greer said in a statement read to reporters on a press call shortly before midnight.
Greer said the US offer was "forward-looking" and included "a historic economic and national security partnership."
What Trump Said on US-Canada Trade Talks
The tariffs were initially supposed to kick in at 12:01 a.m. Wednesday. But Trump extended the deadline for three days to allow talks to continue, but the two countries still could not reach an agreement in time.
"Pretty much, I think so, we'll see. I've dealt with the Prime Minister, have a good relationship and yeah, we have to take care of our farmers. Our farmers are very important to me and the deal with Canada is moving along and we should be able to have a deal with Canada," Trump told reporters, earlier today, at the Joint Base Andrews.
Canada Vows To Match Dollar For Dollar
Canadian Prime Minister Mark Carney responded, "Last-minute changes in the US proposed terms were unfair, uneconomic, and called into question the reliability of any deal." Carney said his government would announce additional support for Canadian workers and businesses in the coming days and he would impose reciprocal tariffs on US goods "dollar for dollar".
