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The tit-for-tat trade spat comes after nine months of negotiations between Canada, Mexico and the United States to revamp NAFTA bogged down.

Mr Mnuchin denied that the United States had abandoned leadership in the global economy and said he had passed on the other countries' strong feelings to Mr Trump.

Fox, one of the leading voices in support of Brexit, said the "mechanism chosen by the U.S. is utterly inappropriate and using national security pretext for what is actually protectionism".

"It is a spectacular decision which is causing a lot of noise for nothing because ultimately this will not re-balance United States trade, it will weaken growth and kill jobs", he added.

"These tariffs are an affront to the long-standing security partnership between Canada and the United States", said Trudeau, as Ottawa hit back with retaliatory duties on U.S. imports worth up to C$16.6 billion (RM51.1 billion).

Morneau warned ahead of his bilateral meeting on Thursday that he'd "clearly" express his disappointment to Mnuchin for the US' protectionist decision.

Canada plans to impose similar taxes on steel and aluminum imports from the U.S. as well as to levy taxes on such goods as whiskey, orange juice and other food products.

"They could solve our border problem if they wanted but they don't want to and when they want to, then I'll be happy".

British Prime Minister Theresa May says the US decision to impose tariffs on European Union steel and aluminum is "unjustified", and European nations should be permanently exempted.

In response, both countries announced reciprocal tariffs on a range of United States imports. European Union officials have already floated the idea of 25-percent import tariffs on US -built products such as denim clothing, cigarettes, motorcycles, and consumables such as bourbon and peanut butter.

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That summit, which will be hosted by Prime Minister Justin Trudeau, will also mark Trump's first visit to Canada as president.

This would effectively end NAFTA in 2023, unless it is renegotiated again.

Trump's latest remarks will create even more uncertainty about the future of the 24-year-old pact. He said he would also speak with the president again when he returns to Washington.

On Friday, Trump appeared to double down, saying Canada had treated US farmers "very poorly for a very long period of time". "Highly restrictive on Trade!"

Bruno Le Maire, France's economy and finance minister, said he wanted to avoid a G7 trade war - but added they had "no choice" but to respond to the "attack".

Finance leaders of the closest US allies vented anger over the Trump administration's metal import tariffs on Saturday, ending a three-day meeting with a stern rebuke of Washington and setting up a heated fight at a G7 summit next week in Quebec.

European Union officials lodged a formal complaint with the World Trade Organization (WTO) on Friday, the first in a series of measures created to hit back at the United States. Those talks, Ross said Thursday, "are taking longer than we hoped".

In particular, it includes a 25-percent import tariff on Harley-Davidson motorcycles and bourbon whiskey, items produced at the electoral districts of some of the US President Donald Trump's domestic political allies.

Comexi agreed that the tariff announcement this week didn't help the renegotiation process, describing the atmosphere it created as "not the best" for constructive dialogue.


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