Canada Faces Trade War as Trump Threatens EU with 200% Tariff on Alcohol

Canada's relations with the U.S. have deteriorated since Donald Trump's return to power, marked by a trade war and demands for Canada to relinquish its sovereignty. Prime Minister Carney, a political newcomer, faces this challenge amid upcoming elections. He plans to strengthen overseas alliances due to strained U.S. ties. Carney aims to attract centrist voters by addressing climate change with market-led solutions, replacing Trudeau's carbon tax. Meanwhile, Trump has threatened the EU with a 200% tariff on wines and alcoholic beverages if the EU doesn't immediately remove its 50% tariff on U.S. whiskey. Trump accuses the EU of unfair trade practices. The EU plans to impose tariffs on U.S. goods in response to U.S. tariffs on European steel and aluminum. The EU's countermeasures, targeting products from food to whiskey and motorcycles, are set to begin in April, leaving room for negotiations.