Donald Trump-Canada trade talks: US president says he's terminating trade talks with Canada over digital services tax
Share this @internewscast.com

WASHINGTON — President Donald Trump announced Friday that he is halting trade negotiations with Canada due to its decision to maintain a tax on technology companies, which he described as “a direct and blatant attack on our country.”

In a message on his social media platform, Trump stated that Canada had just confirmed its intent to implement the digital services tax, applicable to both Canadian and international businesses interacting with online users in Canada. This tax is scheduled to begin on Monday.

“Due to this outrageous Tax, we are ceasing ALL Trade talks with Canada, effective immediately. We will inform Canada of the Tariff they will incur for conducting business with the United States within the next week,” Trump wrote in his message.

Canadian Prime Minister Mark Carney said his country would “continue to conduct these complex negotiations in the best interests of Canadians. It’s a negotiation.”

Trump’s announcement was the latest swerve in the trade war he’s launched since taking office for a second term in January. Progress with Canada has been a roller coaster, starting with the U.S. president poking at the nation’s northern neighbor and repeatedly suggesting it would be absorbed as a U.S. state.

Carney visited Trump in May at the White House, where he was polite but firm with Trump. Trump last week traveled to Canada for the G7 summit in Alberta, where Carney said that Canada and the U.S. had set a 30-day deadline for trade talks.

The digital services tax will hit companies including Amazon, Google, Meta, Uber and Airbnb with a 3% levy on revenue from Canadian users. It will apply retroactively, leaving U.S. companies with a $2 billion U.S. bill due at the end of the month.

Canada and the U.S. have been discussing easing a series of steep tariffs Trump imposed on goods from America’s neighbor.

The Republican president earlier told reporters that the U.S. was soon preparing to send letters to different countries, informing them of the new tariff rate his administration would impose on them.

Trump has imposed 50% tariffs on steel and aluminum as well as 25% tariffs on autos. He is also charging a 10% tax on imports from most countries, though he could raise rates on July 9, after the 90-day negotiating period set by him would expire.

Canada and Mexico face separate tariffs of as much as 25% that Trump put into place under the auspices of stopping fentanyl smuggling, though some products are still protected under the 2020 U.S.-Mexico-Canada Agreement signed during Trump’s first term.

Associated Press writers Will Weissert and Paul Wiseman in Washington and Rob Gillies in Toronto contributed to this report.

Copyright © 2025 by The Associated Press. All Rights Reserved.

Share this @internewscast.com
You May Also Like
LA ICE Raids Get Wild; Protester Makes Bad Decision to Block Van; Mayor Bass' Statement Is Incredible

Chaos Erupts in NYC: Anti-ICE Protesters Block Federal Agents in Garage Standoff

Recent actions by left-wing activists against ICE (Immigration and Customs Enforcement) have…
Massachusetts man accused of beating parents and setting home on fire, leaving them to die

Massachusetts Man Charged with Assaulting Parents and Allegedly Setting Their Home Ablaze

In a deeply unsettling incident, a Massachusetts man has been arrested for…
Mass shooting at Stockton, California, banquet hall leaves 4 dead, 10 wounded

Tragic Mass Shooting at Stockton Banquet Hall Claims Four Lives, Injures Ten Others

A tragic mass shooting in Stockton, California, on Saturday evening resulted in…
Airlines work to fix software glitch on A320 aircraft and some flights are disrupted

Airlines Address Software Glitch on A320 Aircraft, Causing Select Flight Delays

As the weekend approached, airlines globally faced a wave of flight cancellations…
Ice skating in the Sunshine state: rink opens under Fuller Warren Bridge

Florida’s New Ice Skating Rink Debuts Under Fuller Warren Bridge: A Cool Escape in the Sunshine State

Ice skating enthusiasts can glide across the public rink until January 19th.…
Israeli Soldiers Execute Surrendering Palestinians in Jenin Raid

Controversial Jenin Raid: Israeli Soldiers Accused of Executing Surrendering Palestinians

Video from Jenin in the occupied West Bank shows Israeli border police…
Ryan Wedding: FBI seizes $13 million Mercedes CLK-GTR Roadster connected to former Olympian turned alleged drug kingpin

FBI Seizes $13 Million Mercedes CLK-GTR Roadster Linked to Ex-Olympian and Alleged Drug Kingpin Ryan Wedding

The FBI recently confiscated an incredibly rare car valued at $13 million,…
Leaked Texts Tie AG Barr’s Daughter to Candace Owens Blackmail

Explosive Leak: AG Barr’s Daughter Entangled in Candace Owens Blackmail Scandal

Leaked text messages published by Project Veritas have sparked a fresh controversy…
Local Spotlight: Pick a Medicare Advantage Plan, Here's What to Consider

Community Focus: Key Considerations for Choosing a Medicare Advantage Plan

CHICAGO — As the deadline to choose a Medicare Advantage Plan approaches,…
Zootopia 2: Meet the voices behind some new characters in Disney-animated sequel, including Fortune Feimster and Ke Huy Quan

Disney Unveils New Voices for ‘Zootopia 2’: Fortune Feimster and Ke Huy Quan Join the Animated Sequel

LOS ANGELES — Disney’s highly anticipated “Zootopia 2” is making waves at…
San Francisco doctor's steady hand masters the art of surgery

Discover How a San Francisco Surgeon Perfects Precision in the Operating Room

SAN FRANCISCO — Discipline, creativity, and precision are essential traits for an…
National Guardsman shot in DC is 'hanging on,' family pleading for prayer, congressman says

Family Seeks Prayers as National Guardsman Fights for Life After DC Shooting, Congressman Reports

In a pressing call for hope and support, a West Virginia National…