Home › ALJazeera       22.08.2026

US-Canada tariff war escalates as Washington imposes 50% duties

The US and Canada are facing renewed trade tensions after eleventh-hour talks failed to produce a deal.

Washington's new 50 percent tariffs on Canadian exports worth nearly $20bn have come into effect, targeting products including alcohol, furniture, dairy, clothing and sporting goods. Steel and aluminium already face 50 percent tariffs, while vehicles are subject to 25 percent duties.

Canadian Prime Minister Mark Carney says Ottawa will match the US tariffs dollar for dollar to protect Canadian workers and businesses. US President Donald Trump had said a deal with Canada was close before the talks broke down.

The escalating measures risk further straining relations between the two North American economies.

Al Jazeera's Caley Callahan reports.

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