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Trade war escalates: Trump attacks Canada

Canada wants state privileges without being one, US president says

Aug 23, 2026 10:54 154

Trade war escalates: Trump attacks Canada - 1

Trade war escalates: Trump attacks Canada

Trump: Canada wants state privileges without being one

US President Donald Trump renewed his sharp attacks on Ottawa on the social network Truth Social, accusing the neighboring country of trying to extract unfair economic preferences. According to the American leader, Canada is trying to maintain market privileges and financial benefits equal to those of an American state, without, however, assuming the corresponding commitments and responsibilities to Washington. The statement comes hours after Canadian Prime Minister Mark Carney announced an official freeze on bilateral trade talks.

„Canada wants the benefits of being a country without being one!!! Plus, they have been taxing our great farmers with huge tariffs for years. No more!“ – Donald Trump wrote on his official profile.

Negotiations collapse and threat of 50% tariffs

The escalation marks a new critical moment in economic relations in North America after the White House announced the introduction of punitive 50 percent tariffs on a wide range of Canadian goods worth nearly $20 billion. Although a temporary three-day suspension of the duties was agreed earlier in the week to finalize a deal, negotiations collapsed at the last minute.

U.S. Trade Representative Jamieson Greer said Ottawa had abandoned a nearly finished deal, imposing new demands that upset the delicate balance. For its part, the Canadian government counters that the last-minute changes in terms imposed by the US were economically disadvantageous and completely unfair.

Ottawa retaliates

Canadian Prime Minister Mark Carney has categorically rejected the accusations and criticized the Trump administration for using “punitive tariffs“ aimed at dividing and weakening the country's economy. Carney announced that Ottawa was suspending all trade talks with Washington and was preparing a reciprocal response.

Canada will introduce official retaliatory tariffs against the US on a dollar-for-dollar basis, which will take effect on September 8, 2026 and will affect multiple US sectors.

Business associations on both sides of the border have already expressed deep concern that a full-scale trade war would disrupt key supply chains and threaten millions of jobs dependent on the USMCA agreement.