Canadian Prime Minister Mark Carney announced that Canada has suspended trade talks with the United States just before the deadline for imposing new tariffs, AFP reported.
The last-minute changes proposed by Washington are "unfair, uneconomical and call into question the credibility of any deal", Carney said.
He said the change in terms makes it impossible to achieve Canadian goals.
"At midnight tonight, the United States intends to impose a 50 percent tariff on about $28 billion worth of Canadian goods.
Canada will respond with tariffs of the same amount to protect our workers and businesses," Carney promised.
Despite the failure of the talks, Ottawa highlighted his continued investment in the country's infrastructure, concluding that "Canada has what the world wants".
The tariffs, which Canadian Prime Minister Mark Carney has promised to offset "dollar for dollar", will affect about 5% of Canadian trade shipments to the United States.