Canada PM Carney is on the wires saying:Canada will not hesitate to defend its interests in a trade war with the US.Canada is in a stronger position than it was when the trade war started, and will do whatever is needed to defend itself.President Trump has significantly escalated trade pressure on Canada with a new package of tariffs scheduled to take effect on August 19 unless the two countries reach a new trade agreement. The administration announced 50% tariffs on a broad range of Canadian products, including automobiles, dairy products, alcoholic beverages, cement, hockey equipment, and other manufactured goods. The White House argues that Canada continues to maintain unfair trade barriers and discriminatory policies toward U.S. producers.The administration has also linked the tariff threat to broader concerns over trade imbalances and border security while increasing pressure for changes to the North American trading relationship. Canadian Prime Minister Mark Carney has criticized the measures as economically damaging to both countries, but has indicated that Canada will continue negotiations while preparing possible countermeasures.A prolonged tariff dispute could weigh on Canadian exports, business investment, employment, and economic growth. The tariffs could also raise costs for U.S. companies and consumers that depend on Canadian products and raw materials. The USDCAD is relatively calm in trading today but remains above its 100/200 hour MAs near 1.4065. The price is trading at 1.4088. This article was written by Greg Michalowski at investinglive.com.