The United States has imposed new import restrictions on Canadian products including alcohol, dairy goods and motor vehicles, escalating a trade dispute between the two neighbours.
The latest measures come after Canada introduced retaliatory tariffs on US goods, further intensifying tensions between the two countries.
US President Donald Trump announced the restrictions through a series of executive orders on Tuesday, accusing Canada of discriminating against US commerce.
The new US restrictions are due to take effect on September 29, adding to a series of tariffs and counter-tariffs imposed by both sides during the prolonged trade dispute.
Canada had earlier introduced retaliatory measures against US products after Washington imposed tariffs on Canadian goods.
Canadian Prime Minister Mark Carney said the country’s efforts to reduce its dependence on the US as its largest trading partner would come at a cost, as Ottawa seeks to diversify its international trade relationships.
The two countries have maintained that they remain open to reaching a deal, but negotiations collapsed in late August and no new talks have been scheduled.
The dispute is particularly significant because of the depth of economic ties between the two countries. More than two-thirds of Canada’s exports generally go to the United States, making the US market critical to the Canadian economy.
The latest restrictions therefore add pressure on businesses on both sides of the border as the two governments continue their trade confrontation.
The escalation also comes as Canadian counter-tariffs on US goods come into force, raising the prospect of further retaliatory measures if negotiations do not resume.