Donald Trump puts new taxes on goods from Canada. The taxes are 50 percent. This is a tax for goods from other countries. The tax applies to wine and clothes. It applies to furniture and cement. Hockey sticks also have this tax. Energy products do not have this tax. Fish also do not have this tax.
The rules start in 30 days. Trump uses an old law from 1930. He says Canada is unfair to US goods. This concerns cars and milk products. The USA says Canada practices discrimination. Discrimination means the bad treatment of groups.
Trump also threatens Canada with more costs. The reason is big forest fires in Canada. The smoke from the fire reaches the USA. Trump says the bad air is Canada's fault. He wants the leader of Canada to act.
Experts fear economic problems. Prices for the people can rise. This is called inflation. Inflation means things become more expensive. The relationship between the USA and Canada is tense. Both countries hosted the soccer world cup before.
