Trump pauses 50% Canada tariffs after trade deal
U.S. President Donald Trump has paused planned 50% tariffs on nearly $20 billion worth of Canadian imports for three days after announcing that Washington and Ottawa had reached a trade agreement, subject to final documentation, reports a Qazinform News Agency correspondent.
The tariffs, covering Canadian wine, dairy products, furniture, cement, hockey sticks and fishing equipment, were due to take effect on Wednesday, August 19. The measures would also have applied to goods compliant with the US-Mexico-Canada Agreement (USMCA).
“I have paused the 50% Tariffs against Canada, that were scheduled to kick in tomorrow morning for a three-day period, based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!” Trump wrote on Truth Social.
Canadian Prime Minister Mark Carney was more cautious, saying negotiations were not yet complete.
“Substantial progress has been made, although there is important work still to be done,” Carney said.
He added that Washington had agreed to postpone implementation of the tariffs until the end of August 21.
U.S. Trade Representative Jamieson Greer said the agreement would include “comprehensive market access for all American goods, economic security commitments” and alignment on digital trade.
Trump also suggested the Keystone XL oil pipeline project, whose cross-border permit was revoked by former President Joe Biden in 2021, could be revived.
“The great Keystone XL Pipeline, long ago killed by Sleepy Joe Biden, may be awoken from the grave!” Trump said.
Earlier, Qazinform News Agency reported that U.S. President Donald Trump imposed a 50% tariff on a wide range of Canadian goods, citing what his administration described as discriminatory treatment of American automobiles, dairy products and alcoholic beverages.