Carney calls Trump’s fresh tariffs a ‘miscalculation’ after trade talks collapse

Prime Minister Mark Carney of Canada has denounced the recent wave of US tariffs on Canadian goods as a "miscalculation" aimed at "hurting and dividing" the two nations. This assessment came after trade talks between the two allies collapsed on Friday night, with Carney accusing the US of making "last-minute changes" that were "unfair and uneconomic".

The collapse of negotiations upends a deeply integrated trading relationship between Canada and the US, with no clear path to resolution in sight. In response, Canada has retaliated by imposing 50% tariffs on over $20bn (£15bn; C$28bn) of US imports, affecting a range of products including wine, dairy, cement, clothing and hockey equipment.

Canada's trade minister, particularly his speech on Saturday, emphasized the country's reluctance to impose these counter-tariffs, protecting its interests in the process. While both Prime Minister Carney and the Conservative opposition in Canada have expressed support for these measures, critics argue that tariffs raise consumer prices and disrupt the global economy.

US Trade Representative Jamie Scott Greer stated there were no plans to resume the talks and suggested the US had been prepared to reduce some tariffs in return for a deal. However, Carney rejected these concessions, asserting that the US presented "unacceptable" terms that were too restrictive for Canada, including the curbing of its ability to form new trade agreements with other countries.

Both Canadian provinces Ontario and British Columbia have backed Carney's position, with Premier David Eby of British Columbia stating that the US demands would effectively make Canada the "economic equivalent of the 51st state".