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US President Donald Trump has said Canada wants "the benefits of being a state, without being one" after trade talks between the two countries collapsed late on Friday. The breakdown of negotiations triggered new 50% US tariffs on a range of Canadian goods. Trump also said American farmers had been charged "massive amounts of Tariffs" for years.
Canadian Prime Minister Mark Carney called the fresh tariffs a "miscalculation" designed to "hurt and divide us". Carney confirmed he would match Trump's tariffs "dollar-for-dollar" from 8 September, including levies on steel, dairy, appliances and electronics, saying the US and Canada were now in a trade war. Both countries were optimistic of a deal earlier in the week, but talks fell apart after both sides accused the other of making last-minute changes.
Trump's latest comments echo his repeated references to making Canada the "51st state" of America since returning to office, sparking frustration among its leaders and residents. The collapse of the trade talks upended a deeply integrated trading relationship with no clear path to resolution. Trump told Fox News on Sunday that the Canadians were "foolish" to engage in a trade war with the US and think they will "actually win".