Canadian Prime Minister Mark Carney said that a new trade deal with the US remains possible despite the ongoing trade war. The US has announced plans to double auto tariffs from 25% to 50% by January 1, 2027, which will apply to cars, trucks, and auto parts, causing major Canadian auto parts companies' shares to plummet. The government has not yet revealed details on retaliatory tariffs, reviving a guessing game among trade watchers. A new business support package is being built as the situation unfolds.
Written by the local model on 2026-08-25,
using this article's own text rather than the other coverage of the
same event (that is the story summary below).
We’ve reached the tit-for-tat phase of the trade war.
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We → reach → war
Carney calls latest Trump tariff ‘revealing’
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Carney → call → tariff
Prime Minister Mark Carney said a new trade deal between Canada and the United States remains possible, while Ontario Premier Doug Ford engaged in a war of words with President Donald Trump and threatened to cut off Ontario’s electricity exports to the U.S. The PM met with his provincial and territorial counterparts yesterday and continues to build a business support package.
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PM → say → package
Trump said Monday morning that he would double auto tariffs from 25 per cent to 50 per cent as of Jan. 1, 2027, and that these would apply to cars, trucks and auto parts.
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these → say → cars
Auto parts have not previously been subject to tariffs, and shares of major Canadian auto parts companies plunged.
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shares → plunge → companies
The government has yet to release any details of what products will be targeted by retaliatory tariffs, which has revived a guessing game among trade watchers.
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which → have → watchers
Consumer products bore much of the brunt when Ottawa first slapped counter-tariffs on $30-billion worth of American goods last year.
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Ottawa → bear → goods
Mexican President Claudia Sheinbaum is playing down the trade dispute between Canada and the United States, while expressing optimism that Mexico will reach its own deal on tariffs with its northern neighbour.
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Mexico → play → neighbour
Keep reading
- Editorial board: Canada’s sovereignty is not negotiable
- Andrew Coyne: The U.S. isn’t negotiating trade with Canada.
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U.S. → keep → Canada
Canadians are fighting for their sovereignty.
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Canadians → fight → sovereignty
Americans don’t even realize they’re in a war
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they → realize → war
America warns other countries to cut ties with Iran
U.S. President Donald Trump’s pledge to unleash an “economic D-Day” against Tehran turned out to be new warnings for countries to cut off Iran from the rest of the global economy.
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countries → warn → economy
U.S. Treasury Secretary Scott Bessent unveiled a new round of sanctions as the administration struggles to find an off-ramp nearly six months into an unpopular war.
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administration → unveil → war
Experts say Washington is wary of Chinese retaliation ahead of expected talks next month between U.S. President Donald Trump and Chinese President Xi Jinping, with any curbs on China’s exports of critical minerals being especially sensitive.
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curbs → say → minerals
Ukraine gets more support on Independence Day
Britain and France pledged to provide Ukraine with stronger military support at a meeting of allies to mark Kyiv’s Independence Day celebrations.
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Britain → get → celebrations
The allies will provide access to classified technology such as long-range weapons and faster deliveries of air defence missiles.
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allies → provide → missiles
Russia responds:
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Russia → respond → ?
The Kremlin said the use of the classified British technology would “add fuel to the fire” of their worsening relations, after it warned London last week there would be “consequences” for supplying drones to Kyiv.
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it → say → Kyiv
Advocates fear rollback of salmon farm ban
Conservationists and some Indigenous groups and are expressing concern about silence from Ottawa over a plan, proposed by the Trudeau government, to ban ocean-based salmon farms off the coast of British Columbia.
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Advocates → fear → Columbia
The context: Some fish farms have already closed in B.C., while others remain open.
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others → close → B.C.
In 2024, Ottawa released a draft transition plan to phase out by June, 2029, open-net salmon farms in B.C., which Indigenous communities and conservationists argue are harming migrating wild Pacific salmon.
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communities → release → salmon
The Take
Ottawa is filled with monuments.
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Ottawa → fill → monuments
Some pay tribute to those who served; others to those who suffered.
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who → pay → those
Now the city has a place of peace where Canadians can pause to reflect on those who were persecuted and prosecuted because of the people they loved.
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they → have → people
— John Ibbitson, writer and journalist
New LGBTQ monument serves as a reminder to keep standing up to wrongs, John Ibbitson writes.
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Ibbitson → serve → wrongs
The Shot
Ali Daas fled war in Syria to start a new life.
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Daas → flee → life
Now, he defends a country that has changed a lot in the decade since it welcomed him and his fellow countrymen.
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it → defend → him
What else we’re following
At home:
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we → follow → home
Montreal’s municipal council adopted a motion of solidarity with the Palestinian people.
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council → adopt → people
The U.S. bombed a boat in the eastern Pacific Ocean, killing two people accused of trafficking drugs in the first such attack announced in about two months.
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U.S. → bomb → months
A study shows that Black Canadians who want to donate blood face barriers, despite a critical need for specific blood types to treat sickle-cell disease.
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types → show → disease
From the Ask a Therapist series, here are four strategies to help with loneliness.
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strategies → ask → loneliness
Here are six Canadian wines to drink instead of U.S. labels, recommended by Christopher Waters.
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wines → drink → Waters
CBC/Radio-Canada is looking for the Canadian artist who will make history as the country’s inaugural representative at Eurovision.
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who → look → Eurovision