Canada-U.S. Tariff Showdown: A Tragedy for Global Trade

Canadian Prime Minister Mark Carney responded to U.S. tariffs by implementing a limited set of countermeasures, labeling Trump's actions a ‘tragedy’ for global trade. Canada's 25% tariff will target non-compliant U.S. vehicle imports, excluding auto parts and Mexican content. Financial markets reacted negatively to Trump's tariffs.

In a sharp rejoinder to U.S. tariffs, Canadian Prime Minister Mark Carney announced limited countermeasures on Thursday, denouncing President Trump's protectionist stance as a catastrophe for global trade dynamics.

Carney stated that Canada will impose a 25% tariff on non-compliant vehicles imported from the U.S., mirroring Trump's tactics while exceptions are made for auto parts and vehicles meeting the stipulations of the U.S.-Mexico-Canada trade agreement.

The announcement resonated through financial circles, as Trump's tariffs triggered market tumult, reflecting fears of a broader economic disruption. Carney stressed the gravity of this shift in U.S. economic leadership, predicting a prolonged adjustment period before any potential policy reversal.

(With inputs from agencies.)