Trump Pauses 50% Canada Tariffs, Citing a Deal
President Trump paused threatened 50 per cent tariffs on Canadian goods for three days, about 90 minutes before they were due to take effect, saying the two sides had reached a deal in principle. The tariffs would have hit dozens of products. Canada’s prime minister, Mark Carney, said “substantial progress” had been made but that important work remained. Mr Trump added that the cancelled Keystone XL pipeline “may be awoken from the grave”.
The last-minute reprieve fits a now-familiar pattern in which Mr Trump sets a punishing tariff deadline, extracts concessions and then pauses at the brink, keeping trading partners perpetually off balance. For Canada, whose economy is deeply tied to the United States, even a three-day extension is a relief, though the lack of a signed agreement leaves businesses in limbo. The revival of Keystone XL, floated without detail, hints at what Washington may be seeking in return. A durable deal would steady the continent’s largest trading relationship; failure by Friday would reopen the threat. Watch whether the documents are finalised and what Canada gives up in exchange.