U.S. President Donald Trump escalates a bitter trade war with Canada by threatening to rename Lake Ontario to 'Lake America,' claiming the U.S. will no longer do business with Ontario. The threat follows the collapse of trade talks on August 21, 2026, which triggered 50% U.S. tariffs on $20 billion of Canadian goods. While Vice President JD Vance fuels tensions by calling Canada a 'state' in an admitted Freudian slip, Canadian Prime Minister Mark Carney vows matching dollar-for-dollar retaliatory tariffs starting September 8, 2026, and Ontario Premier Doug Ford threatens to cut off electricity and critical minerals to the U.S.
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