Canada has announced retaliatory tariffs on a wide range of American goods, escalating its trade dispute with the United States after negotiations collapsed last week. The move follows Donald Trump's decision to impose fresh levies on Canadian products, which took effect on Saturday, with Washington citing "discriminatory" Canadian trade practices, including provincial bans on US alcohol that were themselves introduced in response to earlier US tariffs. Prime Minister Mark Carney had pledged a "dollar-for-dollar" response, and finance minister François-Philippe Champagne described the countermeasures as a "focused response", insisting Canada remained "masters of our own home".

The retaliatory tariffs cover C$27.6bn (roughly $19.9m) worth of imports across more than 700 items, including cosmetics, dairy, wood products, steel, appliances and agricultural equipment, with most rates set at 25% or 50% and a smaller group, such as air conditioning units, facing 15%. The measures take effect from 8 September and apply only to US-origin goods, alongside more than C$7bn in new support for affected Canadian businesses, on top of over C$20bn pledged over the past 18 months. The dispute has also turned personal, with Trump floating renaming Lake Ontario "Lake America" and trading barbs with Ontario premier Doug Ford, while denying claims his negotiators sought to weaken French-language protections in Canada.