The move was in response to tweets from Global Affairs Canada and Foreign Affairs Minister Chrystia Freeland criticizing Saudi Arabia's arrest of women's rights activists, including Samar Badawi, a Canadian citizen whose brother - blogger Raif Badawi - was already imprisoned in the kingdom. The country's state airline announced it is suspending operations to Canada, and the Saudis government is withdrawing more than 15,000 Saudi students from Canadian schools.
Meanwhile, Saudi Arabia's main state wheat-buying agency, Saudi Grains Organization (SAGO), issued a notice to exporters that it will no longer buy Canadian wheat and barley.
Canada imported 71,300 barrels of crude a day from Saudi Arabia as of 2014, accounting for about 11 percent of the country's imports, according to Natural Resources Canada.
The Kingdom has recalled its ambassador, while at the same time expelling Canada's top diplomat in the country.
Other sanctions include Saudi patients in Canada having their treatments stopped and being relocated to a medical facility outside the country.
When asked about the jailed activists, Jubeir reiterated the government's earlier stance that they had been in contact with foreign entities, but did not specify the charges against them. Canadian Minister of Foreign Affairs Chrystia Freeland, whose tweet sparked the hostility, said that "Canada will continue to advocate for human rights and for the courageous women and men who push for these fundamental rights around the world" after Saudi's response.
Jubeir added that the kingdom was still "considering additional measures" against Canada.
"Saudi Arabia does not interfere in the affairs of Canada in any way".
"It's up for the government of Saudi Arabia and the Canadians to work this out", said Heather Nauert, a spokesperson for the state department, on Tuesday. Saudi holdings of Canadian dollar reserves are between $10 billion and $25 billion, with the upper end of that estimate representing 10 per cent of daily Canadian dollar volumes, according to estimates from the Canadian Imperial Bank of Commerce.
Canadian Prime Minister Justin Trudeau is reportedly expected to be pressed on the diplomatic crisis at a press conference in Montreal.