President Trump faces domestic backlash after trade talks with Canada collapsed, triggering new tariffs on $20 billion worth of Canadian goods. The levies, added to existing duties on steel, aluminum, lumber, and vehicles, took effect Saturday. Prime Minister Justin Trudeau vowed "dollar-for-dollar" retaliation, while U.S. Trade Representative Katherine Tai said the U.S. would respond to Canada's countermeasures.

Republican Senator Susan Collins of Maine, bordering Canada, warned the "on-again/off-again trade talks" would "lead to higher costs, risk and uncertainty for U.S. businesses." Democratic governors echoed concerns: Michigan's Gretchen Whitmer said her auto-dependent state was "uniquely impacted," calling tariffs a "tax hike on U.S. families." Minnesota Governor Tim Walz noted Canada is his state's top export market, with damage arriving "in a matter of days."

Neel Kashkari, president of the Federal Reserve Bank of Minneapolis, told CBS that prolonged trade conflict could keep inflation "stubbornly high." The Minneapolis Fed covers Minnesota, North Dakota, South Dakota, Montana, and parts of Wisconsin. Business groups urged a return to negotiations. U.S. Chamber of Commerce's Myron Brilliant warned of an "escalating cycle of tariffs," while Business Roundtable CEO Joshua Bolten said new duties risk "raising costs for American families." Former Vice President Mike Pence told CNN a trade war with Canada is "the last thing we need."