WASHINGTON: President Donald Trump has re-entered into a trade war with Canada announcing 35% tariff on the neighboring country effective August 1.
In an interview with American media, President Trump said tariffs on other trade partners may also increase. Canadian Prime Minister Mark Carney said they are trying to reach an agreement and will defend their interests.
Meanwhile, protests erupted in Brazil over the tariffs. Demonstrators burned effigies of the American president.
Economic experts have warned that Trump’s announcement could further strain trade relations between the U.S. and Canada. The two countries conduct billions of dollars in trade, and such measures could lead to price hikes and disruptions in supply chains.
The Canadian government has emphasized resolving the issue through negotiations. Prime Minister Carney stated they want to maintain positive dialogue with the U.S. but will firmly defend Canada’s interests. Trade analysts say that without a deal, the dispute could prove damaging to both economies.
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