Canada suspends trade talks with US over tariff terms

Canadian Prime Minister Mark Carney announced late Friday that Ottawa has suspended trade negotiations with the United States, citing insufficient progress in talks aimed at securing market access for Canadian businesses. The decision came after negotiators worked to "strike a fair deal that would provide the best access to the U.S. market and greater certainty to Canadian businesses and workers," according to a statement from the Prime Minister's Office.

Carney said Canadian negotiators had worked "hard, in good faith" to defend the country's interests until the "very last minute." "However, last-minute changes in the U.S. proposed terms were unfair, uneconomic, and called into question the reliability of any deal," he added.

Tariff retaliation pledged

The suspension followed Washington's threat to impose a 50% tariff on approximately $28 billion of Canadian goods at midnight Friday. "Canada will match those tariffs dollar for dollar to protect our workers and businesses," Carney said, vowing retaliatory measures against the economic pressure.

Trade negotiations had resumed Friday morning in Washington ahead of the deadline, with both sides previously indicating they were close to an agreement. US President Donald Trump said Wednesday that a "very fair" deal had been reached, though the final terms apparently shifted before the suspension.