President Trump threatened to raise tariffs on Canadian auto parts, cars and trucks from 25% to 50% starting January 2027, after Canada matched new 50% U.S. tariffs on $20 billion of Canadian goods dollar-for-dollar.
Talks collapsed Friday night after Prime Minister Mark Carney said Washington's terms were 'unfair, uneconomic' and called into question the reliability of any deal, citing U.S. demands to limit Canada's trade with other countries and weaken French-language rules.
U.S. Trade Representative Jamieson Greer blamed Canada for the breakdown, saying 'they wanted more,' while Ontario Premier Doug Ford offered a blunter assessment of the U.S. president in a radio interview.
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