Trade War Begins – The U.S. imposed tariffs on Canadian steel and aluminum in 2018, citing national security concerns
Canada Retaliates – In response, Canada announced $21 billion in retaliatory tariffs on U.S. goods
Targeted U.S. Exports – The tariffs hit American products like steel, aluminum, whiskey, ketchup, and household goods
Aimed at Swing States – Canada strategically targeted exports from politically sensitive U.S. regions
NAFTA Under Pressure – The dispute complicated negotiations for the United States-Mexico-Canada Agreement (USMCA)
Economic Impact – The tariffs raised costs for businesses and consumers on both sides of the border
Business Backlash – U.S. and Canadian industries lobbied against the trade war, fearing job losses
Diplomatic Tensions – Relations between Trudeau and Trump worsened, with public criticism from both leaders
Tariffs Lifted – In 2019, both countries agreed to remove the tariffs as part of a broader trade deal
Lessons Learned – The conflict highlighted the risks of trade wars and the deep economic ties between the U.S. and Canada