Trump has restarted a trade war with Canada, and it lands badly for shoppers and businesses on both sides of the border while prices are already climbing.

• Trump threatened a 50% tariff on $20 billion of Canadian goods after talks collapsed, then raised tariffs on cars coming from Canada.
• Canada hit back with matching tariffs on $20 billion of American goods, including steel, cheese, furniture and clothing.
• The timing is rough: the Iran conflict has closed the Strait of Hormuz, pushing up energy costs, and JP Morgan warns of a global food crisis in early 2027.
• Trump admitted the U.S. gets most of its aluminum from Canada and needs it badly — the same metal used in cars and appliances.
• Canada is the second biggest buyer of American exports, so U.S. farmers, ranchers and manufacturers take the hit too.

Outlook: Expect higher prices on both sides until Trump backs down, and Canada shows no sign of caving first.