00:00The US and Canada are heading towards a deeper trade war after President Donald Trump threatened to double tariffs on
00:06Canadian cars and trucks.
00:08Trump says the new 50% tariffs will take effect from January next year.
00:13These are in addition to the 50% tariffs imposed on Saturday after trade negotiations between the two countries collapsed.
00:24Canadian Prime Minister Mark Carney has since announced retaliatory tariffs on US steel and dairy, as well as products including
00:32farm equipment, pulp and paper and electronics.
00:36Carney said Canada's goal of trade talks with Washington was to get the best deal for Canadians, but not at
00:43any price.
00:44He also revealed over the weekend that the deal fell apart in part because US negotiators made last-minute demands,
00:52including restrictions on Canada's trade deals with other countries.
00:57Carney said Ottawa would focus on building up its domestic economy and diversifying trade.
01:02The United States is Canada's biggest trading partner, with about 70% of Canadian exports going to the US.
