US imposes 50% tariffs on Canada after talks collapse

On August 22, 2026, the United States imposed a 50% tariff on $20 billion worth of Canadian products after trade negotiations between the two countries failed. The talks, aimed at averting the tariffs, collapsed, and the tariffs took effect immediately. Canadian Prime Minister Carney vowed to retaliate with matching tariffs "dollar for dollar." The move marks a significant escalation in the trade dispute between the two longtime allies, further straining their relationship.