Canada imposes counter-tariffs on $20bn of US goods, sparking trade war

Washington announced a new round of tariffs that will affect roughly $20 billion in American exports, a move that analysts say threatens the stability of the world’s largest bilateral trading relationship. The tariffs, slated to take effect in the coming weeks, target a broad array of goods ranging from agricultural commodities and consumer electronics to automotive parts, reflecting an escalation in the ongoing trade dispute between the United States and its principal partner.

Chinese officials have condemned the measures as “unilateral and protectionist,” warning that they could trigger reciprocal actions and further disrupt global supply chains. Trade experts note that the added duties raise the risk of reduced market access for U.S. producers and could pressure both economies to negotiate a resolution before the tariffs deepen the downturn in bilateral commerce. The situation remains fluid as diplomatic channels continue to seek a de‑escalation pathway.