U.S. President Donald Trump has abruptly ended trade negotiations with Canada, citing Ottawa’s plan to implement a digital tax targeting major tech firms.
U.S. President Donald Trump has called off trade talks with Canada, escalating tensions between the two countries.
In a post on social media, Trump announced the decision, blaming what he called an "egregious tax" aimed at American tech giants. The tax plan, proposed by Ottawa, would impose levies on large digital companies operating in Canada.
The two nations had been working towards a new trade agreement by mid-July. But Trump’s latest move comes after months of strained relations, including tit-for-tat tariffs and earlier threats by Washington to use "economic force" against Canada.
"We are hereby terminating ALL discussions on Trade with Canada, effective immediately," Trump posted.
He also warned that new tariffs on Canadian goods will be unveiled within a week.
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