Experts note that the new imports affected are a minor fraction of the $880 billion annual two-way trade
America’s trade relations with neighboring Canada worsened on Tuesday with a ban on nearly $1 billion worth of Canadian imports.
The ban includes motorcycles, alcohol, and dairy products and byproducts like whey. Alcoholic beverages account for 87% of the newly targeted list.
The retaliation follows the earlier dispute when President Donald Trump imposed 50% tariffs on approximately $20 billion in Canadian goods, alleging discrimination against US dairy, auto, and alcohol producers.
Canada responded with matching tariffs of 15%, 25%, or 50% on US products.
Experts note that the new imports affected are a minor fraction of the $880 billion annual two-way trade.
However, the move marks another escalation in Trump’s trade war. Tensions have also risen over his recent decision to rename Lake Ontario as Lake America.