Canada has put new taxes, called tariffs, on about C$27.6 billion worth of goods from the United States. Canada made this decision after trade talks with the US failed. The new tariffs started just after midnight on Tuesday and affect many products like steel, aluminium, dairy, farm equipment, paper, plastics, and electronics. For some goods, the extra taxes are between 15 and 50 percent. This change covers goods made in the US but does not apply to things already being shipped before the new rule started.

This action by Canada is a response to the United States' recent tariffs, which are also very high, on Canadian products. The United States put a 50 percent tariff on Canadian exports. Canada says it needed to answer with its own tariffs to protect its businesses and be fair. Canadian officials said they want to match the US tariffs so their industries do not suffer.

Because of the new tariffs, Canadian businesses and people who import American goods now have to pay higher prices for many products. The Canadian government hopes this will push the United States to return to the negotiation table to solve the trade disagreement.