Pakistan, Aug. 22 -- The United States has imposed 50pc tariffs on some Canadian goods after trade talks failed. The new duties took effect shortly after midnight on Saturday. They cover about $20 billion worth of Canadian products. However, the affected goods represent just over five percent of Canada's US exports. The move has nevertheless increased tensions between the two longtime allies.

Canadian Prime Minister Mark Carney responded by suspending trade negotiations with Washington. He also directed Canadian negotiators to return to Ottawa. Carney said Canada would retaliate against the new tariffs on a dollar-for-dollar basis. He criticised last-minute changes to the US proposal. According to Carney, the changes were unfair and made...