US-Canada tariff talks collapse, raising trade war fears
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PThe prospect of renewed tariffs had already begun to affect preparations at the US border. Shortly before Greer announced the collapse, US Customs and Border Protection issued guidance to importers on tariffs covering Canadian products identified by the administration.
The timing leaves both governments facing an immediate economic and diplomatic test, with the failure of the talks removing what had appeared to be a near-term route towards de-escalation.
For Carney, the next step is expected to involve measures to protect Canadian industries from the new American levies while managing the consequences for consumers and businesses on both sides of the border.
For Trump, the collapse provides another opportunity to press his administration’s broader demand that trading partners make greater concessions to the United States—while risking deeper disruption with one of America’s largest trading partners.
