Canada suspends US trade talks after 50% tariffs imposed

Ottawa announced on Tuesday that it is suspending ongoing trade negotiations with the United States after President Donald Trump unveiled a new round of tariffs that would impose a 50 percent duty on a broad range of Canadian imports. The tariffs, announced as part of the administration’s “America First” trade agenda, target sectors including steel, aluminum, dairy products, and certain agricultural goods, and are slated to take effect within the next 30 days. Canadian officials said the measures represent a sharp escalation in the trade dispute that began last year over softwood lumber and other issues, and they warned that the tariffs would significantly raise costs for Canadian exporters and consumers.

In response, the Canadian government pledged a “dollar‑for‑dollar” retaliation, indicating that equivalent tariffs would be applied to U.S. goods of comparable value. Trade Minister Mary Ng stated that Canada will work with industry partners to identify the specific products affected and will implement the countermeasures swiftly if the United States does not withdraw the proposed duties. The suspension of talks and the threat of reciprocal tariffs raise concerns about a broader trade war that could disrupt supply chains and dampen economic growth on both sides of the border, prompting analysts to call for diplomatic efforts to de‑escalate the conflict.