U.S. and Canada Stop Trade Talks, Hit Each Other With New Taxes

Trade talks between the U.S. and Canada broke down August 21, 2026, when President Trump said Canada treats American farmers unfairly. The U.S. slapped a 50% tax — a tariff — on things bought from Canada. On August 22, Prime Minister Carney struck back, taxing U.S. goods starting September 8. Neither country shows signs of backing down.