menu_open Columnists
We use cookies to provide some features and experiences in QOSHE

More information  .  Close

The U.S.-Canada Trade War Is Full Steam Ahead

21 0
25.08.2026

Welcome back to World Brief, where we’re looking at tit-for-tat tariffs between Canada and the United States, Iran and China’s response to Operation Economic Outcast, and the spread of Ebola across Central Africa.

‘Everyone’s in for an Economic War’

Canada announced retaliatory tariffs against the United States on Tuesday, the latest salvo in the ongoing North American trade war.

Welcome back to World Brief, where we’re looking at tit-for-tat tariffs between Canada and the United States, Iran and China’s response to Operation Economic Outcast, and the spread of Ebola across Central Africa.

‘Everyone’s in for an Economic War’

Canada announced retaliatory tariffs against the United States on Tuesday, the latest salvo in the ongoing North American trade war.

Last week, U.S. President Donald Trump abruptly postponed planned 50 percent tariffs on roughly $20 billion worth of Canadian goods for a 72-hour period, citing progress in ongoing talks. Both Trump and Canadian Prime Minister Mark Carney expressed initial optimism about a potential deal; however, negotiations collapsed on Friday, with Ottawa accusing Washington of trying to destroy key Canadian industries. The next day, the 50 percent U.S. tariffs went into effect.

Trump also warned on Monday that the United States will raise tariffs on cars, trucks, and auto parts to 50 percent starting Jan. 1, 2027. “Canada has been ripping off the United States of America for years,” Trump wrote on Truth Social at the time, calling the relationship “not sustainable.” Canada is one of the United States’ largest trading partners, accounting for around $872.3 billion in bilateral trade in 2025.

In response, Ottawa vowed on Tuesday to impose tariffs as high as 50 percent on roughly 700 U.S. products—including clothing, electronics, and foodstuffs—beginning Sept. 8. Most notably, Ottawa revealed that it will be doubling duties on U.S. aluminum and steel to 50 percent in an effort to go “dollar for dollar” with sweeping U.S. tariffs. The new Canadian levies will cover around $20 billion of U.S. imports annually—the same value as Canadian exports affected by U.S. levies.

“Ultimately, the terms proposed by the U.S. administration were uneconomic, unfair, and ultimately unacceptable,”........

© Foreign Policy