Washington warns of severe impact on Canada from trade war

The administration of U.S. President Donald Trump has warned that a trade war with Canada would be "devastating," as it announced tariffs of 50% on products worth $20 billion. Canada has pledged to retaliate with tariffs on steel and dairy products starting from September. Officials expect the economic repercussions for Canada to be significant and believe it will be the hardest hit, cautioning that the tensions could escalate into a severe conflict between the two countries.

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