Canada supplies significant amounts of America's oil and $412 billion in goods annually. Trump's escalating trade war means your gas tank and grocery cart are about to get much more expensive.

Trade talks are reportedly continuing between Canada and the U.S., with formal meetings having taken place since U.S. President Donald Trump revealed more threats and demands last week, a source close to the White House said.

Canadian Prime Minister Mark Carney says Canada will keep working toward a new trade framework with the United States despite U.S.

Rather than continuing to retaliate with tariffs of its own, the Canadian government has begun to confess that such a tactic may be a losing battle against Donald Trump.

Trump threatened to escalate tariffs beyond 35% if Canada opts to retaliate with tariffs on U.S. goods. Canadian goods are also subject to sector-specific tariffs, such as 50% levies on steel and aluminum as well as 25% tariffs on non-USMCA compliant autos and auto parts.

Canada is one of the United States' top trading partners, with more than $410 billion of goods crossing into the country last year.

The country’s new prime minister, Mark Carney, has been called the “Trump whisperer,” and negotiations have been cordial and professional. But it’s been a wild ride.

Trump wrote to Carney to inform him that, from August 1, Canada will face a 35 percent import tariff after the two sides failed to reach a deal during the recent pause. The American leader said he would consider revising the 35 percent tariff "if Canada works with me to stop the flow of Fentanyl".