Canada on Tuesday announced retaliatory tariffs of up to 50% on about $27.6 billion worth of US goods, escalating the trade war between the two neighbours after trade negotiations between Ottawa and Washington collapsed.The new measures, which will take effect on September 8, will cover a wide range of US products, including seafood, dairy, paper products, furniture, apparel, tools, cosmetics and motorcycles.The Canadian federal government is introducing the counter-tariffs on a swath of US goods. These new retaliatory tariffs will have a sliding scale of 15, 25 and 50%.The highest tariff of 50% will apply to certain dairy products, cosmetics and lumber products. Duties on US steel and aluminium will also rise from 25% to 50%, CBC News reported.The measures come after the Trump administration imposed 50% tariffs on Canadian goods over the weekend following the collapse of trade talks.Prime Minister Mark Carney has accused Washington of trying to subordinate Canada, saying US demands during the failed negotiations showed that Americans wanted to “destroy our major industries”.US President Donald Trump, meanwhile, has warned Canadian leaders to “fall in line” or face consequences “far WORSE” than the existing tariffs. He has also threatened 50% tariffs on Canadian vehicles, auto parts and steel.Trump earlier in the day, escalated the rhetoric by saying the US was giving “serious consideration” to renaming Lake Ontario as “Lake America”.In a post on Truth Social, Trump also accused Canada of imposing high tariffs on US farmers and criticised its aviation regulator.“Canada has been ‘Ripping Off’ the USA for decades. They have been charging our Farmers 400% Tariffs, and more. They have driven many wonderful U.S. companies out of business,” Trump said.“I deal with many countries, and Canada is easily the most difficult and unreasonable. They feel entitled, but they are not a State, and will be entitled no longer!” he added.