What to know about Canada's escalating trade war with the U.S.

Canadian lumber products are shown at Gutherie Lumber Tuesday, Aug. 25, 2026, in Livonia, Mich.

Canada struck back at U.S. President Donald Trump on Tuesday with tariffs on about $20 billion worth of U.S. goods. The outcome could resonate far beyond Canada.

(Image credit: Paul Sancya)