‘We got attacked’: Carney says retaliatory tariffs on U.S. to take effect next month

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

The prime minister was joined by Canada-U.S. Trade Minister Dominic LeBlanc and Canada’s chief trade negotiator Janice Charette.

Carney said Canada will match Washington’s new tariffs dollar-for-dollar and that the levies will be targeted at sectors such as steel, dairy, appliances, agricultural equipment, pulp and paper and electronics. He said more details on those retaliatory measures, as well as supports for affected sectors, will be announced in coming days.

The counter tariffs are set to come into force on Sept. 8, the day after Labour Day.

“We take this step reluctantly,” Carney said, adding that some of the measures will raise costs and reduce choice for Canadians.

The prime minister also said he recognized that some U.S. companies and states are “innocent bystanders” in the dispute, which he said is preventing Canada and America from “doing so much good that we could do together.”

“But at the same time, we take this step confident that it is in the best interest of Canada and that by rejecting a bad deal, by standing up for Canada, by focusing on what we can control, we will build Canada strong for all,” he said.

Carney met virtually with his cabinet Saturday, followed by a meeting with premiers, where he said the provinces need to keep working together.

Carney said that the U.S., “at the last hours,” introduced efforts to restrict Canada’s ability to have other trade deals. He called the move a “power play,” that became an issue of sovereignty.

“We believe in free trade, with a partner of choice in many respects with countries around the world, and the Americans wanted to restrict that,” he said. “Unacceptable.”

Asked by a reporter if the U.S. was asking Canada to impose tariffs on other countries in conjunction with them, Carney said “there were elements of that in certain sectors.”

“There were elements where we would see the merit of that as part of a comprehensive deal that made sense for Canada,” he added.

Carney said the U.S. also added terms near the end of discussions to remove tariffs on some specific vehicles, specifically Ford trucks, as well as restrict Canada’s protections of language and culture.

“In effect, our sovereignty,” said Carney.

Carney said the government will outline Canada’s plan for counter tariffs and measures to support Canadian workers and businesses in the coming days.

“We’re going to hit back, and we are going to provide tariff protection where we can where it’s relevant,” he said. “We will do whatever it takes to support these businesses.”

The new U.S. tariffs target $28 billion in Canadian goods ranging from hockey sticks and honey to essential oils and dairy products.

U.S. Trade Representative Jamieson Greer said Friday that the U.S. and Canada had “declined” to finalize a tentative agreement, and laid the blame entirely on Canada.

“Despite the U.S. offer to Canada to receive the best treatment of any major exporter to our market, new demands and walk-backs of other commitments by Canada have upended the careful balance reached in the past days,” said Greer.

“In addition, Canada is continuing to maintain its prolonged retaliation against the United States, including, among other things, flat-out prohibitions on certain American goods and services.”

Greer told reporters the failed deal represented a “missed opportunity,” noting that the U.S. was offering significant tariff reductions on steel, aluminum, autos and lumber in exchange for concessions from Canada.

He said the deal also included an economic and national security partnership, as well as the announcement of formal U.S.-Mexico-Canada agreement negotiations.

Greer told Fox News Saturday that there are no new talks planned with Canada. He said the U.S. was moving forward with measures that respond to Canadian retaliation.

The Trump administration did not extend CUSMA in July. That triggered an annual rolling review of the trade deal for up to a decade, at which point it would expire if all three countries cannot come to an agreement for an extension.

Mexico and the United States have launched official CUSMA negotiations, but Ottawa and Washington have not started such talks.

Asked by a reporter Saturday what the most recent breakdown in trade talks meant for CUSMA negotiations, Carney said in French that it’s not good news.

Carney also said, however, that Canada has a clearer perspective because of these negotiations.

Earlier Friday, U.S. President Donald Trump said a deal with Canada was “moving along,” though LeBlanc told reporters there was still “more work to do” to seal a trade deal.

Trump has not yet posted on social media since the deal fell through. The president had only posted about construction of the White House ballroom.

After days of silence, Ontario Premier Doug Ford said on social media late Friday that the prime minister has his “full support” for a strong response.

“As we fight to protect Canadian sovereignty and economic security, everything needs to be on the table,” said Ford. “Ontario is ready to do its part.”

Ford suggested to Carney in a letter Monday that Canada respond to new tariffs with a dollar-for-dollar approach.

“We cannot back down in the face of economic coercion,” he said in the letter.

Ford also said electricity, energy and critical minerals infrastructure should contribute to Canada’s negotiating leverage. He said the federal government should also consider retaliatory tariffs on imports from “politically significant states to the current administration’s base of support.” He named Alabama, Arkansas, Florida, Iowa, Missouri, Montana, Texas and Wisconsin.

“Products from these states should face the full force of Canada’s response,” he said.

Speaking to reporters Saturday, Ontario Premier Doug Ford urged his counterparts across the country to stick together in the face of tariffs imposed by the United States government.

Ford said all premiers must stand united for Team Canada, and he says there cannot be an outlier.

He gave Prime Minister Mark Carney credit for standing up for Canada by standing up to U.S. President Trump and said employers, workers and unions in Ontario’s steel and auto sectors agree the U.S. government had put forth a bad deal.

“I’m glad he didn’t sign that deal because it was a bad deal,” Ford told reporters Saturday.

Ford said Trump can’t be trusted, that he changes the deal and “keeps moving the goal post.”

“President Trump is the type of person that would steal your lunch money the first day. He’d steal the toque off your head the second day and the third day he’d steal your running shoes.”

Carney seemed reluctant Saturday to include energy and critical minerals as a bargaining chip in negotiations. Carney has previously suggested that Canada’s reputation as a reliable supplier could take a hit if it started using energy exports as leverage in trade talks with the United States.

“We have a range of other options to protect our industry,” the prime minister told reporters Saturday. “We have considerably ramped up development of critical minerals … much less of that development has been related to the United States than it would have been if we were not having these trade issues.”

This report by The Canadian Press was first published Aug. 22, 2026.

— With files from Sarah Smellie in St. John’s

Catherine Morrison and David Baxter, The Canadian Press

by The Canadian Press

‘We got attacked’: Carney says retaliatory tariffs on U.S. to take effect next month

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