Canadian PM Carney says new US tariffs are 'designed to hurt us and divide us'

# Analysis Canada's retaliatory tariff announcement marks a critical inflection point in North American trade relations, moving beyond negotiation toward sustained economic conflict. The characterization of US tariffs as deliberately divisive—rather than merely protectionist—signals Ottawa's belief that Washington is pursuing strategic pressure beyond traditional trade disputes, which could harden positions on both sides and make compromise more difficult. For ordinary consumers in both countries, escalating tariff cycles typically translate directly to higher prices on groceries, vehicles, and household goods within months, as companies pass increased import costs downstream. The threat to "both economies" is concrete: Canada is the US's largest trading partner and a critical supplier of energy, minerals, and automotive components, so sustained tariff warfare risks supply chain disruption and job losses in manufacturing sectors already vulnerable to economic slowdown.