Mark Carney says Washington's offer was "unfair, uneconomic" in US‑Canada trade talks

Canada broke off trade talks with the United States on Aug. 21, 2026, and Prime Minister Mark Carney issued a statement that night criticizing Washington’s offer. Canadian officials said negotiations collapsed after the U.S. changed terms, and the breakdown left roughly $20 billion in Canadian goods—about 5.5 percent of Canada’s exports to the U.S.—facing new American tariffs. In response, Canada plans 50 percent tariffs on U.S. steel and aluminum and 25 percent tariffs on appliances, dairy, and some steel and aluminum products starting Sept. 8. President Donald Trump has claimed on Truth Social that the U.S. is being treated unfairly, but an AFP fact-check found several of his claims—on unemployment, agricultural tariffs, the trade deficit, and trade dependence—conflict with official data. The collapse marks a sharp escalation in a trade war between two major trading partners.