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Trump administration predicts US trade war 'devastating' for Canada

channelnewsasia.com ·

Trump administration predicts US trade war 'devastating' for Canada

The Trump administration has warned that Canada should not expect to win a trade war with the United States, predicting a devastating impact on the northern neighbor. Negotiations between Washington and Ottawa collapsed late Friday, leading to the implementation of new 50% US tariffs on approximately US$20 billion worth of Canadian goods, which account for 5.5% of Canadian exports to the United States.

Canada vowed to retaliate with similar tariffs, targeting US steel and dairy industries starting September 8. Transportation Secretary Sean Duffy stated that Canada would fare worse in a trade war with President Donald Trump. He emphasized that Canada benefits more from trading with the US than the other way around. Prime Minister Mark Carney dismissed the idea of a trade war, predicting it would be disastrous for Canada.

Carney announced retaliatory tariffs on the US after negotiations broke down due to US demands that would limit Canadian trade deals with other countries and threaten French language and Quebec culture. Trump responded by accusing Canada of wanting the benefits of being a state without being one, and vowed to put an end to Canada's massive annual trade with the US.

Written by urgent.news from Channel News Asia's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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·asahi.com

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