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Rolled coils of steel sit in the yard at the ArcelorMittal Dofasco steel plant in Hamilton, Ont. on Thursday, August 20, 2026. THE CANADIAN PRESS/Nick Iwanyshyn
By The Canadian Press

From business leaders to sports fans, Canada responds to trade war escalation

Aug 23, 2026 | 2:00 AM

OTTAWA — Prime Minister Mark Carney’s decision to suspend trade talks with the United States is garnering support from Canadian political, business and industry leaders, while seemingly perturbing the American president.

Early Sunday morning, Donald Trump took to his social media platform, Truth Social, to claim that “Canada wants the benefits of being a State, without being one!!!”

The post also suggested that Canada had, for too long, charged American farmers “massive amounts of Tariffs.” A statement he punctuated with “No more!!! President DJT”.

However, in a news release expressing support for the move, the Canadian Steel Producers Association says Canada and the U.S. have enjoyed more than 30 years of fully integrated trade and that “no deal is better than a bad deal.”

In Brampton, Ont., mayor Patrick Brown echoed those words, saying more than 3,000 people remain out of work because of the shutdown of the Stellantis Assembly Plant, which was to be retooled for Jeep production before the company paused the plan in early 2025.

It then announced it was moving production of the Jeep Compass from Brampton to the U.S., and Brown says he’s glad Canada’s trade negotiators are holding firm.

But not all leaders are cheering Carney’s promise to match Washington’s newest tariffs dollar-for-dollar, with Alberta Premier Danielle Smith noting that retaliatory measures could mean Canadian farmers have to pay 50 per cent more for the equipment they need to produce our food.

Canadian fans in Vancouver and Montreal, meanwhile, booed the U.S. national anthem at the start of Major League Soccer matches on Saturday.

“Prime Minister Carney and Minister Leblanc walked away from a bad deal instead of signing one that left our auto sector exposed, and Brampton knows better than almost anyone what’s at stake if we get this wrong,” Brown said in a news release.

“Our message is simple: Canada must secure a deal that eliminates damaging tariffs on vehicles, parts, steel, and aluminum and protects Canadian jobs. Anything less is a deal Brampton and Canada cannot afford.”

The U.S. introduced new 50 per cent tariffs on billions of dollars’ worth of Canadian exports on Saturday. Carney responded that retaliatory tariffs will hit the U.S. starting next month after Canada walked away from what he called a “bad deal.”

Canadian counter-levies will target sectors such as steel, dairy, appliances, agricultural equipment, pulp and paper, and electronics. Carney said more details on those retaliatory measures, as well as supports for affected sectors, will be announced in the coming days.

Ontario Premier Doug Ford is calling on his counterparts across the country to stick together.

“The prime minister has my full support for a strong response — tariff for tariff, dollar for dollar. As we fight to protect Canadian sovereignty and economic security, everything needs to be on the table. Ontario is ready to do its part,” Ford said Saturday.

Saskatchewan Premier Scott Moe, in a statement, said his government supports Carney’s decision to enact dollar-for-dollar counter tariffs on targeted U.S. products. But he also noted it won’t be easy, saying “all tariffs hurt real businesses and kill real jobs, on both sides of the border.”

“That’s why we should be doing everything we can to avoid, reduce and remove tariffs. I believe the federal government did that, but in the end, the U.S. administration chose to stick with this failed economic policy, and Canada must respond accordingly,” Moe said.

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’ll always defend ourselves. We didn’t ask for this, but we’ll keep fighting for as long as it takes,” British Columbia Premier David Eby said.

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.

This report by The Canadian Press was first published Aug. 23, 2026.

The Canadian Press


by The Canadian Press