U.S. Trade Representative Jamieson Greer entered a meeting with Canadian officials Friday afternoon with a frown.

The United States and Canada, historically close allies, are moving further into a full-blown trade war with no end in sight. On Aug. 25, 2026, Canada imposed tariffs of up to 50% on hundreds of U.S.

Canada Prime Minister Mark Carney and U.S. officials provided different explanations for the trade deal’s collapse.

But the taunt was nonetheless the latest escalation of tensions with Canada and its leader Mark Carney after trade negotiations spectacularly collapsed. This led Trump to impose 50 percent tariffs on Canadian goods, and Canada to respond with tariffs on more than 700 American products.

Canadian government officials said they are also providing aid for workers and businesses that could be hurt by U.S.-imposed tariffs.

The boom in the defense sector reflects Canadian Prime Minister Mark Carney’s vow to strengthen the country’s economic self-sufficiency amid fraying relations with Washington, including a fresh escalation this week with new rounds of tariffs.

The United States imposed 50% tariffs on $20 billion worth of Canadian products early Saturday, and Canada immediately said it would retaliate, after last-ditch negotiations failed.

Mike Smith of Windsor said he is such a big supporter of Trump that he would like him to take over Canada. He believes it would lead to an economic renaissance. But Smith said he doesn’t understand all the petulant moves Trump makes against Canada, such as badmouthing the country and slapping tariffs on its goods.

A crackdown on American academia by the Trump administration has handed Canadian universities a rare opportunity to lure some top researchers north.

Canadian grocery prices are likely to continue rising faster than headline inflation in the near term, as persistent supply-chain pressures, elevated meat prices and a weaker currency keep costs elevated,

Governors, senators, and automakers in Maine, Vermont, and Michigan have spent 18 months warning the White House a trade war with Canada would bite.