The US is banning a slew of Canadian products, including alcoholic spirits, dairy goods and motorbikes, as its neighbour’s retaliatory tariffs on American goods come into force.
In a series of executive orders on Tuesday, US President Donald Trump said that Canada is “discriminating” against the US and outlined the import ban, which will begin 29 September.
Earlier on Tuesday, Canada Prime Minister Mark Carney said in a video address that his country’s pivot away from the US as its largest trading partner “will come at a cost”.
Both US and Canadian officials have said they would like to strike a trade deal, but no new talks have been scheduled since negotiations collapsed in late August.
The BBC has contacted Carney’s office for comment.
The White House’s new sanctions are the latest strike in a months-long trade war between the US and Canada. The sides have historically been close allies, with each a key business partner to the other.
Generally more than two-thirds of Canada’s total exports go to its neighbour.
On the other hand, Canada is the second-largest trading partner of the US, after Mexico, although its exports are far more diversified.
Business owners on both sides of the border have expressed fears over the trade war’s fallout. Many expect prices of goods to rise and the number of customers to fall.
Last month, the White House imposed 50% tariffs on around $20bn (£14.8bn) of Canadian goods after several rounds of talks had broken down.
Those tariffs hit sectors including Canada’s furniture and wine industries, as well as some sporting and fishing equipment businesses.
Canada responded with dollar-for-dollar tariffs on US goods like steel, clothing and furniture. The counter-duties came into effect after midnight on Tuesday.
