US President Donald Trump announced immediate abruptly 50% tariffs on particular Canadian goods.

The designated categories include steel, aluminum and lumber.

The the Treasury office said the move aims to safeguard domestic producers and lower Canada’s trade surplus.

The the federal government responded with plans to fight back.

The Canadian dollar tumbled 1.5% against the US dollar after the statement.

Economists alerted that the tariffs could escalating trade conflict.

Both sides suggested a willingness to negotiate a deal.