Canada-US trade talks collapse as Ottawa vows dollar-for-dollar tariff response

Canada has ended its latest round of trade negotiations with the United States after Ottawa said Washington changed key conditions near the deadline, prompting Prime Minister Mark Carney to recall Canadian negotiators from the talks.

Carney said the revised U.S. terms were unreasonable and harmful to Canada’s interests. He said the government would move quickly to support Canadian workers and businesses affected by the trade measures and would respond to U.S. tariffs on a dollar-for-dollar basis.

U.S. Trade Representative Jamieson Greer, meanwhile, said Canada rejected an opportunity for a deal despite an American offer to reduce tariffs on steel, aluminum, automobiles and lumber.

The dispute could have significant implications for Canadian exporters and industries that rely heavily on access to the U.S. market. The next steps will depend on how Ottawa implements its retaliatory measures and whether the two governments return to formal negotiations.

B.C. Premier David Eby supported Carney’s decision, saying Canada should not allow its willingness to cooperate to be viewed as weakness and that the country would continue defending its interests.