Carney's Trade Stand Sparks Retaliation and Consumer Price Fears
Canadian Prime Minister Mark Carney has walked away from US trade talks, triggering a full-scale tariff war. Washington imposed new levies on Canadian goods, while Ottawa retaliated with tariffs on nearly 900 US products, including paper, dairy, and alcohol. The dispute highlights the risks of asymmetric economic dependence, with experts debating whether Carney's firm stance strengthens Canada's negotiating position or risks long-term harm. Consumer costs are expected to rise, particularly for paper products, as supply chains face disruption.