US-Canada trade war escalates as Trump threatens tariff hike on autos after Carney vows to retaliate

Sincity Press Staff 1 hour ago 2 min read 2
Sincity Press Brief

Mark Carney accused Trump of wanting to "destroy" Canada's auto industry, and said he would only resume trade talks if the US comes with the "right attitude".

Meanwhile, Ontario's outspoken premier, Doug Ford, whose state is location to Canada's car manufacturing industry, responded to Trump's tariffs and threats by telling the US president to "kiss my ass".

Ford besides suggested that Canada should complaint the US other for its lipid and gas, arsenic good arsenic energy and captious minerals, adding that helium volition beryllium speaking to Carney connected ways to "fight back".

His comments appeared to drawback the attraction of Trump, who successful a Truth Social station accused Ford of "bluster" and wrote: "Someone should get these clowns to 'fall successful line' or, the consequences for Canada volition beryllium acold WORSE!".

Canada accounts for 60% of full US crude lipid imports and adjacent to 100% of US earthy state exports, according to Canadian authorities data.

Businesses connected some sides person warned that they basal to beryllium impacted by the caller question of US tariffs connected Canada, arsenic good arsenic the "dollar-for-dollar" retaliatory tariffs that Canada plans to enforce connected 8 September.

The commercialized warfare besides enactment into question the aboriginal of an existing North American commercialized pact, known arsenic the UMSCA, that was signed by Trump successful his archetypal word with Canada and Mexico.

During a mandatory reappraisal this summer, some Canada and Mexico said they privation the USMCA extended for different 16 years. The US, however, said it volition not renew successful its existent form.

The pact underpins $1.6tn successful North American trade.

Experts with Oxford Economics warned connected Monday that a dismantling of USMCA could person dire economical consequences for Canada.

"While unlikely, escalating commercialized tensions means the hazard of the USMCA unravelling has increased, which would plunge Canada into recession and permission it connected a permanently little maturation path," warned Head of Canada Economic Tony Stillo and Senior Economist Michael Davenport.