‘You’re at war when you get attacked’ — Canada’s Mark Carney accuses U.S. of using economic integration as a weapon as trade fight spurs tariff hikes

The United States and Canada, historic allies along an undefended border, fell deeper into a trade war Saturday marked by angry recriminations and new tariffs that are expected to raise prices for products in both countries.

Each side blamed the other for the collapse of negotiations in Washington late Friday, leading the U.S. to impose 50% tariffs on $20 billion worth of Canadian goods and Canada setting Sept. 8 as the start of its retaliatory penalties.

President Donald Trump’s import taxes will hit about 5% of what Canada ships to the United States every year, ranging from hockey sticks to tongue depressors. Prime Minister Carney said Ottawa would respond with targeted tariff protection for industries exposed to the new U.S. duties, including some steel products. He also mentioned the dairy, appliance, agricultural equipment, pulp and paper and electronics sectors.

No further talks were planned. Whatever the eventual outcome, a loss of trust seems one of the earliest casualties.

Carney accused Washington of using “economic integration ...