Canada to recognize a Palestinian state; Trump says move will hurt tariff talks
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(The Hill) – President Trump expressed on Thursday that Canada’s decision to acknowledge a Palestinian state hinders the advancement of trade discussions, just a day before his August 1st tariff deadline.

“Wow! Canada has just announced that it is backing statehood for Palestine,” the president wrote in a post on Truth Social shortly after midnight.

“That will make it very hard for us to make a Trade Deal with them. Oh’ Canada!!!” he added.

On Wednesday, Canadian Prime Minister Mark Carney declared that Canada plans to recognize a Palestinian state at the United Nations General Assembly in September 2025. This recognition would depend on significant conditions, including the Palestinian Authority conducting elections in 2026, which would exclude Hamas, the governing body of the Gaza Strip since June 2007.

Carney’s declaration aligns with similar announcements from the United Kingdom and France, as global leaders are urged to address reports and widespread images of starving children in Gaza amidst an escalating humanitarian crisis.

The Trump administration has criticized these efforts. On Monday, the State Department stated that the U.S. will not engage in any initiatives supporting a two-state resolution to the Israel-Hamas conflict. Earlier this week, Secretary of State Marco Rubio criticized French President Emmanuel Macron, arguing the decision undermines ceasefire negotiations.

This pressure coincides with Trump’s plans to impose hefty tariffs on major U.S. trading partners who do not comply with the new U.S. trade terms by the August 1st deadline.

Moreover, the president has warned of imposing a 35 percent tariff on Canadian goods not protected under the U.S.-Mexico-Canada (USMCA) trade agreement.

“We haven’t really had a lot of luck with Canada,” he said last week. “I think Canada could be one where they’ll just pay tariffs. It’s not really a negotiation.”

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