Trump says Canada wants 'benefits' of being US state after trade talks collapse

Trump has repeatedly mentioned making Canada the "51st state" of America since returning to office US President Donald Trump has stated Canada wants "the benefits of being a State, without being one" after trade talks between the two countries lost consciousness late on Friday. In his first comments since negotiations broke down, triggering new 50% US tariffs on a range of Canadian goods, Trump also stated American farmers had been charged "massive amounts of Tariffs" for years.

Carney confirmed he would match Trump's tariffs "dollar-for-dollar" from 8 September, including levies on steel, dairy, appliances and electronics. The US and Canada are now in a trade "war", he stated. "They requested too much and they offered too little," Carney stated on Saturday.

Key Analysis and Detailed Timeline

"You're at war when you get attacked. We got attacked," he added. Trump's latest comments echo his repeated references to making Canada the "51st state" of America since returning to office, sparking frustration among its leaders and residents.

The collapse of the trade talks upended a deeply integrated trading relationship, with no clear path to resolution. "We cannot accept what they've offered, and we will not give what they've asked," Carney stated. Both countries were optimistic of a deal earlier in the week, but talks fell apart after both sides accused the other of making last-minute changes.

The new 50% US tariffs will apply to a range of Canadian goods, in addition to existing US tariffs on Canadian steel, aluminium, automobiles and lumber. They are limited in scope, covering about $20bn (£15bn; C$28bn) of Canadian imports, or about 5% in total, including wine, dairy, cement, clothing and hockey equipment.

The prime minister stated Canada was retaliating "reluctantly" to protect its interests.

Broader Impact and Sector Outlook

Details of the counter-measures will be released in the coming days, he stated. Carney faces crucial test after walking away from Trump's deal Leaders of other federal parties in Canada, including the Conservative opposition, voiced support for the prime minister, as have the leaders of some Canadian provinces.

Tariffs - a tax placed on imports from other countries - have been a key component of Trump's trade policy, with the US president arguing they will boost American manufacturing and create jobs at home.

Critics, however, say tariffs have raised prices for American consumers and have disrupted and damaged the global economy. Carney's speech on Saturday was his first address to Canadians after he confirmed late on Friday night that a deal would not be reached, accusing the Americans of making "last-minute changes" that were "unfair" and "uneconomic".

US negotiators, meanwhile, accused Canada of making "new demands and walk backs" on terms which had been previously agreed.

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On Saturday, US trade representative Jamieson Greer informed Fox News there were no plans to resume talks. He added that the US had been prepared to cut some of its tariffs on Canada as part of the ill-fated deal.

Carney, however, stated the US presented "unacceptable" terms that were too restrictive, including curbing Canada's ability to strike new trade deals with other countries.

He also rejected the assertion that Canada had made last-minute requests: "We clarified what was on offer and were continually disappointed " This video can not be played Watch: 'US requested too much and offered too little,' says Canada's PM Mark Carney Doug Ford, the leader of Canada's most populous province Ontario, backed Carney and stated Trump "can't be trusted".

British Columbia Premier David E "It was never acceptable to Canadians," E The Conservative opposition leader Pierre Poilievre also appeared to support Carney, calling the latest US levies "unjustified". Quebec's premier, Christine Fréchette, cautioned jobs would likely be lost as a result of the new US tariffs.

"Behind these numbers are real people," she stated, vowing to introduce measures to support impacted sectors.

Alberta Premier Danielle Smith, whose oil-rich province has worked to make inroads with the Trump administration, urged both sides to resume talks. The collapse comes after more than a year of on-again, off-again trade talks, which intensified in recent weeks after a US-imposed deadline to strike a deal or face further tariffs.

The two countries were also engaged in a mandatory review of an existing North American free trade agreement, known as USMCA, with Mexico.

Earlier this summer, Canada and Mexico had formally requested for USMCA to be renewed for another 16 years. The US, however, declined to renew it in its current form. Requested how Friday's trade talk collapse would impact the North American free trade pact, Carney stated it was "certainly not good news".

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