Bank of England governor, who has won the Liberal election to succeed Justin Trudeau, says he will keep tariffs until "Americans show us respect".

Canada will keep its trade retaliation in place until the US lifts its own tariffs and commits to free trade, said Mark Carney, who will succeed Justin Trudeau as Canada’s prime minister within days.

President Trump has escalated tensions with Canada by threating to impose significant tariffs on imports like dairy and lumber. In retaliation, Canada has announced its own tariffs on U.S. goods. The situation is now further complicated by political developments in Canada where they’ve elected a new prime minister.

The Bank of Canada trimmed its key policy rate by 25 basis points on Wednesday to 2.75% and raised concerns about inflationary pressures and weaker growth stemming from trade uncertainty and President Donald Trump's tariffs.

The Bank of Canada cut its policy rate by 25 basis points to 2.75% on Wednesday, as widely expected. Breaking news... check back for updates. More on Canada Bank Of Canada Preview: Another Cut As Tariffs Cloud Outlook USD/CAD Eyes Breakout As Tariff Deadline Approaches Canada's next prime minister vows to win trade war,

The Bank of Canada cut interest rates by a quarter percentage point and called the trade battle with the US a “new crisis,” but pushed back on expectations that policymakers were on a predetermined cutting path.