President Donald Trump escalated the trade war with Canada after talks collapsed last week, announcing Monday that the United States would impose 50% tariffs on cars, trucks, automotive components, and steel starting Jan. 1, 2027.

“Canada has been ripping off the United States of America for years,” Trump wrote on Truth Social. “Their ridiculously high tariffs on our Farmers and farm products has made life impossible for these great American Patriots, and has long created a 60 Billion Dollar Deficit between our two Countries. Not sustainable, and NOT ANYMORE!”

“Canada will be treated like a State no longer!” he wrote. “On Trade, and in other ways, also, they are among the worst Nations in the World to deal with. They feel entitled, and yet, WE DON’T NEED CANADA, THEY NEED US! They do 95% of their business with the U.S., with us, the exact opposite!”

After negotiations for a new U.S.-Canada-Mexico agreement between the U.S. and Canada deteriorated, the Trump administration announced tariffs on $20 billion worth of Canadian goods beginning Saturday, with Canadian Prime Minister Mark Carney previewing that he would respond with “dollar-for-dollar” tariffs starting on Sept. 8.

“Canada has what the world wants,” Carney wrote in his own statement. “And we will not allow any nation to determine our future. We will set our own course to keep building Canada strong for all.”