US President Donald Trump said Canada wanted “the benefits of being a State, without being one” after trade negotiations between the United States and Canada collapsed late on Friday.

In his first comments since the talks ended, Trump said the breakdown triggered new 50% US tariffs on a range of Canadian goods. He also claimed American farmers had been charged “massive amounts of Tariffs” for years.

Canadian Prime Minister Mark Carney responded by calling the latest levies a “miscalculation” intended to “hurt and divide us”. Carney said Canada would match Trump’s tariffs “dollar-for-dollar” from 8 September, including duties on steel, dairy, appliances and electronics, and described the two sides as entering a trade “war”.

Tariffs, Scope And Retaliation

The new 50% tariffs apply to selected Canadian imports, on top of existing US tariffs covering Canadian steel, aluminium, automobiles and lumber.

They are limited in scope, affecting about $20bn (£15bn; C$28bn) of Canadian imports, equivalent to roughly 5% of Canada’s total exports to the US. The covered goods include wine, dairy, cement, clothing and hockey equipment.

Carney said Canada was retaliating “reluctantly” to protect its interests. He said details of counter-measures would be released in the coming days.

Both sides had earlier expressed optimism about reaching an agreement, but talks fell apart after each accused the other of making last-minute changes.

“We cannot accept what they've offered, and we will not give what they've asked,” Carney said.

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RELATED

Trump 50% Tariffs On Canada Start After Talks Collapse

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Dispute Over Deal Terms

Trump’s latest remarks echoed his past statements about making Canada the “51st state” of the US, a position that has drawn anger from Canadian leaders and residents.

Carney said the US wanted too much and offered too little. “They asked too much and they offered too little,” he said on Saturday. He argued that the situation should be understood as an attack: “You’re at war when you get attacked. We got attacked.”

The US trade representative Jamieson Greer told Fox News on Saturday that there were no plans to resume negotiations. He said the US had been prepared to reduce some tariffs as part of the deal that failed to materialise.

Carney said the US presented “unacceptable” terms that were too restrictive, including limits on Canada’s ability to sign new trade deals with other countries. He also rejected the claim that Canada made last-minute requests, saying: “We clarified what was on offer and were continually disappointed by the answers.”

Support From Canadian Leaders

Carney’s Saturday remarks were his first address to Canadians after he announced on Friday night that no deal would be reached. He accused the Americans of making “last-minute changes” that were “unfair” and “uneconomic”.

Leaders across Canada backed Carney. Doug Ford, head of the Ontario government, said Trump “can’t be trusted”. British Columbia Premier David Eby argued that US demands to restrict Canada’s ability to pursue other trade deals would “reduce us to the economic equivalent of the 51st state”.

The Conservative opposition leader Pierre Poilievre backed Carney and said the new US levies were “unjustified”. Quebec’s premier, Christine Fréchette, warned that jobs would likely be lost and said measures would be introduced to support affected sectors. Alberta Premier Danielle Smith, whose province has sought closer ties with the Trump administration, urged both sides to resume talks.

Broader Trade Talks And USMCA

The collapse follows more than a year of trade negotiations that had repeatedly paused and resumed, intensifying in recent weeks after a US-imposed deadline to agree or face further tariffs.

The US and Canada are also part of a mandatory review of the existing North American free trade agreement known as USMCA, alongside Mexico. The pact was signed by Trump in his first term to replace the 1994 North American Free Trade Agreement and underpins $1.6tn (£1.2tn) in annual trilateral trade across the three countries.

Earlier this summer, Canada and Mexico asked for USMCA to be renewed for another 16 years, but the US declined to renew it in its current form. Asked how Friday’s failure would affect the wider agreement, Carney said it was “certainly not good news”.

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23 August 2026

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We'll never know the whole truth behind the collapse, i do believe this to be true.

"including limits on Canada’s ability to sign new trade deals with other countries."

20 minutes ago, stevenl said:

We'll never know the whole truth behind the collapse, i do believe this to be true.

"including limits on Canada’s ability to sign new trade deals with other countries."

Me too. But since both Trump and Carney were calling it a good deal as of late Wednesday leaves a big question mark over what happened. I believe Carney when he says Canada didn't throw in last minute demands. My own hunch is that little greesy creep, Lutnick, sat in on the talks on deadline Friday with the lead US negotiator Greer and made last minute US demands - that might have even surprised Greer. Carney partially outlined them (including as you quoted above). On balance, Carney did the right thing. Lutnick can't be trusted, and that's more or less what Carney meant. Trump might have been unaware that Lutnick was doing this. But of course, we'll never know everything (as you say) but some of it will leak.

2 hours ago, webfact said:

In his first comments since the talks ended, Trump said the breakdown triggered new 50% US tariffs on a range of Canadian goods. He also claimed American farmers had been charged “massive amounts of Tariffs” for years.

Wait until Canada doubles the price of potash that your farmers can''t get from anywhere else.

2 hours ago, webfact said:

US President Donald Trump said Canada wanted “the benefits of being a State, without being one”

What's a "State benefit"? The right to own an assault rifle, become obese and mortgage your home for an appendectomy?

I am sure Canada would not like to give up universal health care just to be the US

51 st state ,I am sure Americans envy Canada for providing just that....

what's he messing about with Canada for ,isn't he supposed to be fighting a war ,

must be bored with it now...

regards worgeordie

Carney has a way of saying FU publicly that is just fantastic.

My man

Carney says sometimes U.S. signature written in pencil in trade talks

• August 22

• News

• Duration1:36

Prime Minister Mark Carney said Canada recognized early that its relationship with the U.S. had changed and that U.S. trade negotiators intended to use economic integration as a weapon. He added that at times America's signature was 'written in pencil' after talks broke off between the two countries without a new trade deal.

Edited August 23Aug 23 by Cave Johnson

Trump is becoming increasingly delusional and unhinged.

Time to enter the asylum.

15 hours ago, worgeordie said:

I am sure Canada would not like to give up universal health care just to be the US

51 st state ,I am sure Americans envy Canada for providing just that....

what's he messing about with Canada for ,isn't he supposed to be fighting a war ,

must be bored with it now...

regards worgeordie

Sure the universal health care system works great as long as you're not sick and don't need an emergency room or a specialist.

Wait till the Americans have to pay 50% more for their lumber, oil, hydroelectric power, potash for the farmers, etc that all comes from Canada, who is their largest trade partner. Art of another wonderful deal. Pure genius’s these Americans!

As iif anyone with half a brain would beleive a single word that comes out of the mongrel dog Trumps mouth. The animal would not know the truth if it kicked him in the head.

It’s all about DJT liking or not liking a person that dictates his actions. Well done Americans you really picked a good one to represent you.

The more I see and hear of Carney, the more I think what a fine leader he is - intelligent, well-informed, brave, and ready for the worst well in advance ...

If only Oz had a leader like that.

18 hours ago, ronnie50 said:

Wait until Canada doubles the price of potash that your farmers can''t get from anywhere else.

Canadian potash and other fertilizer exports to US is completely spared from the Section 338 tariff measures.

It is very distracting to see Trump as the initiator of everything "bad" in the world.

As far back as 1986, with the Cold War still "on", I had lunch with a colonel in the Canadian army. He said that (if you could hear the conversations in the officers' mess) senior officers in the Canadian military would admit that the "real enemy" was not the Soviet Union but south of the border.

The Canadian upper classes, he argued, have throughout Canada's history been too ready to yield up elements of Canadian resources in return for handsome financial rewards from American sources.

Imagine, he said, that round about the year 2040 (yes, he was looking that far ahead) an American president (probably female) would demand huge increases in exported Canadian water. The way to do that was to demand that certain rivers be turned around and flow south instead of north (something the Russians had also done, but in their own country!).

If the Canadians refused, the Americans would invade Canada, an act of war. But the Canadian military would only be able to protect one city: either Montreal or Toronto or Vancouver.

American administrations have quietly regarded Canada as the 51st state for countless decades. Trump is the only president who has actually come out and said what is the truth about the unequal relation between our two countries. But don't blame him (or celebrate him) for giving voice to this strategic truth. He has half-listened to some rubbish "advisor" (like Lutnick) who has whispered this stuff in his ear, so that, in his half-assed way, he thought it might be a good joke to open a window on the future.

3 hours ago, Srikcir said:

Canadian potash and other fertilizer exports to US is completely spared from the Section 338 tariff measures.

So what? Canada could double the price that US importers pay for it.

As the general tenor of the conversation doesn't seem to be based on a typical Canadian's perceptions of what the heck is going on, I will now stick my big toe, as a typical Canadian, into the maelstrom.

Canada only wishes to be treated as the independent sovereign state that it is, and has proven itself over the past hundred and some odd years to not only to be a very dependable trade partner, but also a brave ally at times of peril. There is a legal and existing trade agreement NOW in effect between Mexico, Canada and the USA. Trump unilaterally chose not to honor the terms of a deal that HE HIMSELF brokered. To Canadians, such as myself, this means one thing critical thing: no agreement that we sign or not sigh will be honored by Trump and his officials. This signals to us the need to find new markets for our products, which we have successfully done over the past year or so. We are aware of the Trump regime's capability to inflict pain of various sorts on our country, and we're unconcerned, as we'll never kiss the gravy smeared ring of that fascist scumbag.

The self proclaimed genius has once again shot himself on this foot. Lumber and steel up by 50% on top of the existing tariffs will end up with customers paying the extra costs for residential houses, automotive, household appliances and heavy machinery sectors. US relies heavily on Canada for both timber and steel. It will have a major effect on demand and production while adding to inflation and job losses. The US Distilled Spirit Council warned of economic carnage to the industry with devastating revenue and business losses. This is a reckless zero sum game for US and not well thought out strategy to threaten Canada. I expect some sort of walk back (TACO) from Trump when the poop hits the fan with the petrified GOP reeling from a mid-term wipe-out speaking out, industry backlash and more Trump's bad polls.

US stock futures dropped in after-hours trading on August 21 after the Trump administration’s 50% tariff on roughly $20 billion worth of Canadian goods officially kicked in just past midnight on August 22. The S&P 500, Nasdaq 100, and Dow all slid as investors processed the reality that the largest bilateral trade relationship in North America just got a lot more expensive.

Edited August 24Aug 24 by Eric Loh
add word

8 hours ago, JT25 said:

As iif anyone with half a brain would beleive a single word that comes out of the mongrel dog Trumps mouth. The animal would not know the truth if it kicked him in the head.

What do you expect from this guy?

4 hours ago, Leopold Bloom said:

It is very distracting to see Trump as the initiator of everything "bad" in the world.

As far back as 1986, with the Cold War still "on", I had lunch with a colonel in the Canadian army. He said that (if you could hear the conversations in the officers' mess) senior officers in the Canadian military would admit that the "real enemy" was not the Soviet Union but south of the border.

The Canadian upper classes, he argued, have throughout Canada's history been too ready to yield up elements of Canadian resources in return for handsome financial rewards from American sources.

Imagine, he said, that round about the year 2040 (yes, he was looking that far ahead) an American president (probably female) would demand huge increases in exported Canadian water. The way to do that was to demand that certain rivers be turned around and flow south instead of north (something the Russians had also done, but in their own country!).

If the Canadians refused, the Americans would invade Canada, an act of war. But the Canadian military would only be able to protect one city: either Montreal or Toronto or Vancouver.

American administrations have quietly regarded Canada as the 51st state for countless decades. Trump is the only president who has actually come out and said what is the truth about the unequal relation between our two countries. But don't blame him (or celebrate him) for giving voice to this strategic truth. He has half-listened to some rubbish "advisor" (like Lutnick) who has whispered this stuff in his ear, so that, in his half-assed way, he thought it might be a good joke to open a window on the future.

Canada needs nukes.

9 hours ago, 300sd said:

Sure the universal health care system works great as long as you're not sick and don't need an emergency room or a specialist.

No. If you mean is there a shortage of family doctors and access to specialists, then that's true.

But the way the universal system works is by triage. If you present yourself at an emergency room with chest pain or an ambulance delivers you in a serious condition, you are quickly assessed and if indeed serious you are looked after expeditiously. Do emergency rooms get overwhelmed at times, yes (like anywhere). The shortage of family doctors does need to get addressed because it exagerates that. But in Canada, if you have a heart attack or a stroke or are in the hospital for a lengthy period from an accident etc., it won't cost you a dime.

3 minutes ago, ronnie50 said:

But in Canada, if you have a heart attack or a stroke or are in the hospital for a lengthy period from an accident etc., it won't cost you a dime.

....more than you are already paying.

There FTFY

Just now, VocalNeal said:

....more than you are already paying.

There FTFY

You mean in general taxation? Ok.

Why does the US not simply invade Canada and just take its 33 trillion USD of natural resources? Canada has a tiny population and would be defeated in less than a week.

33 trillion USD of natural resources puts Canada in 4th place in the world, behind Russia, the US, and Saudi Arabia.

Iraq only had 16 trillion USD of natural resources and was deemed a worthy target. Why is Trump being so lenient with Canada?

8 hours ago, Cameroni said:

Why does the US not simply invade Canada and just take its 33 trillion USD of natural resources? Canada has a tiny population and would be defeated in less than a week.

33 trillion USD of natural resources puts Canada in 4th place in the world, behind Russia, the US, and Saudi Arabia.

Iraq only had 16 trillion USD of natural resources and was deemed a worthy target. Why is Trump being so lenient with Canada?

Must be another American showing his ignorance on how the world works outside its borders. This is why 90% of the world now laughs at the US and the rest just don’t care.

Why would Canada want to be a US state without free healthcare? 🫢

How do you like dem apples, Carney? 😄

Such a fan of EU trade protectionism during your time as governor of the bank of England. Now whining like a little baby when the US does it.

You didn't care about Britain being a vassal state of the EU, but you're horrified at the suggestion Canada could be a state of the US. Suddenly a fan of sovereignty and self governance, huh? 😄

Suck it up, buttercup.

4 minutes ago, JonnyF said:

How do you like dem apples, Carney? 😄

Such a fan of EU trade protectionism during your time as governor of the bank of England. Now whining like a little baby when the US does it.

You didn't care about Britain being a vassal state of the EU, but you're horrified at the suggestion Canada could be a state of the US. Suddenly a fan of sovereignty and self governance, huh? 😄

Suck it up, buttercup.

I wasn't aware the EU applied tariffs on the UK BEFORE Brexit, but they do now.

So suck it up, losers

2 minutes ago, CallumWK said:

I wasn't aware the EU applied tariffs on the UK BEFORE Brexit, but they do now.

So suck it up, losers

No flies on you today Callum. 😄

Yes, in exchange for giving up our sovereignty we avoided tariffs.

Canada can do the same if it wishes. Come on Canada, join the USA, you might get a couple % points of GDP in exchange for sovereignty, self determination, and agency.

No? Why not?

2 minutes ago, JonnyF said:

No flies on you today Callum. 😄

Yes, in exchange for giving up our sovereignty we avoided tariffs.

Canada can do the same if it wishes. Come on Canada, join the USA, you might get a couple % points of GDP in exchange for sovereignty, self determination, and agency.

No? Why not?

You still don't understand the difference between the EU and US, Jonny? Did the UK give up their sovereignty by joining the EU trade union?

No wonder you are still whining about Brexit.