Prime Minister Mark Carney has stated Canada will consider all options, including retaliatory measures, in response to the U.S.announcement of new tariffs on Canadian goods.The tariffs, set to take effect on August 19, target sectors like dairy and alcohol, citing unfair trade practices by Canada.Carney emphasized that Canada remains committed to negotiating a comprehensive agreement with the U.S., particularly addressing Section 232 tariffs impacting key industries.Provinces retain autonomy over lifting bans on U.S.alcohol imports, which remain a point of contention.

The government plans intensified negotiations and consultations with provincial leaders to address trade disputes while seeking to modernize the Canada-United States-Mexico Agreement (CUSMA).