Canada imposed retaliatory tariffs on about C$28 billion ($20 billion) of U.S.-made goods on Tuesday, escalating a trade dispute after negotiations with Washington broke down in late August. The duties reach 50% on products including honey, aluminum foil and steel, while U.S. cheese faces a 25% tariff. Ottawa described the measures as a proportional response to President Donald Trump’s August 50% duties on Canadian dairy products, alcoholic beverages, fragrances and hockey equipment. The measures add to existing Canadian counter-tariffs, including a 25% duty on certain U.S. automobiles and trucks. Fresh fish and lobster were removed from the latest list after objections from Canada’s fishing sector, whose supply chains are closely integrated with U.S. producers and processors. Economists and the Canadian Chamber of Commerce have warned that escalating duties can increase prices for food, apparel and household goods, even as business groups support a response to U.S. tariffs. Trump separately said Bombardier could be excluded from the U.S. market unless it shifts production to the United States. The aircraft maker contributes more than C$7 billion annually to Canada’s economy, while more than half of its revenue comes from U.S. buyers and operations. Canada’s economy added 181,000 jobs from April through July, but lost about 41,000 positions in August as new U.S. tariffs took effect and talks collapsed. The United States accounted for 66% of Canadian exports in July, down from a pre-trade-war average of 75%, as Prime Minister Mark Carney pursues trade diversification and says Ottawa remains open to a durable and equitable agreement.