Ottawa unveiled a new slate of retaliatory tariffs on a range of American goods on Thursday, marking a sharp escalation in the ongoing trade dispute between Canada and the United States. The measures, announced by Trade Minister Mary Ng, target $2.5 billion worth of U.S. imports, including steel, aluminum, and certain agricultural products such as soybeans and pork.
The tariffs are a direct response to the United States’ recent imposition of duties on Canadian lumber and dairy products, which Canadian officials say violate the terms of the United States‑Mexico‑Canada Agreement (USMCA). “We have exhausted diplomatic channels and must protect Canadian producers,” Ng stated.
Industry groups on both sides have warned that the tit‑for‑tat measures could raise consumer prices and disrupt supply chains, especially in the automotive and construction sectors. The World Trade Organization has been asked to mediate, and both governments have signaled a willingness to return to negotiations if the other side lifts its duties within 60 days.
Analysts predict that the dispute could spill over into other sectors, potentially affecting cross‑border trade of energy, technology, and services, unless a resolution is reached swiftly.