Ottawa, August 22 — Canada suspended trade negotiations with the United States tonight after the U.S. announced plans to impose tariffs on $28 billion of Canadian goods. The move came after last-minute changes in American tariff proposals that the Canadian government described as unfair and uneconomic. Prime Minister made the decision in a statement released by his office.
He said negotiations had advanced in recent weeks but were halted because the U.S. terms undermined the reliability of any deal. “Our goal has been to secure the best deal for Canadians, never a deal at any price or on any deadline,” he said.
Canada will match the U.S. tariffs dollar for dollar. The government has already provided $25 billion in support to Canadian workers and businesses over the past 18 months and will introduce additional measures in the coming days. This follows a broader strategy to “build our strength at home and diversify our partnerships abroad,” the prime minister emphasized.
The tariffs target roughly $28 billion in Canadian exports. This includes key sectors like automotive and aerospace, which are deeply integrated into U.S. supply chains.
The U.S. tariff announcement was made at midnight tonight, according to the Canadian government. Canada’s negotiators were recalled to Ottawa immediately after the announcement. The move marks a sharp turn in bilateral relations. Over the past 18 months, Canada’s government has focused on strengthening domestic industries and reducing reliance on the U.S. market.
Foreign direct investment in Canada is at its highest level in two decades, and exports to non-U.S. markets are on track to double in the next decade. However, the tariff escalation threatens to disrupt these gains.
U.S. officials have not yet commented on Canada’s response. The Canadian government has framed the suspension as a necessary step to protect its economic interests. The prime minister’s office stated the decision reflects a commitment to “setting our own course” in an evolving global trade landscape.
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