In another escalation of trade tensions, US President Donald Trump on Saturday threatened to impose a 30 per cent tariff on imports from Mexico and the European Union starting 1 August, after trade negotiations failed to yield a comprehensive deal.

Previously, Canadian imports outside the U.S.-Mexico-Canada Agreement (USMCA) faced 25% tariffs, while energy imports were subjected to 10%. Canada is the United States' second-largest trading partner,

US President Donald Trump announced a sweeping new 35% tariff on Canadian imports, escalating trade tensions between the two countries ahead of a planned resumption of bilateral talks. The new tariffs will take effect on August 1,