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The trade war between the U.S. and Canada is facing further escalation as the Trump administration plans to add 50 percent tariffs on Canadian automobiles, parts and steel in the next year.

This would be in addition to a 50 percent tariff hike that went into effect Saturday, after talks with Canadian Prime Minister Mark Carney on Friday proved unsuccessful. Those talks, which were supposed to ease tensions, resulted in increased costs on general Canadian goods like alcohol and hockey equipment.

Canadian cities near the Minnesota border, including Thunder Bay, are bracing for the potential fallout.

While the impact won’t be immediate, “we do know that the longer that these tariffs go on, that the impacts will broaden throughout the economy on both sides of the border,” Charla Robinson, president of the Thunder Bay Chamber of Commerce, told MPR News.

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A new round of tariffs went into effect for Canada and another round is being threatened in the coming year. 

Canadian city near U.S. border prepares for another round of tariffs 

Thunder Bay braces for more U.S. tariffs

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