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Palestinian question puts US-Canada trade agreement in jeopardy

Palestinian question puts US-Canada trade agreement in jeopardy Donald Trump, President of the US (photo: Getty Images)

US President Donald Trump rejected the trade deal with Canada after Canadian Prime Minister Mark Carney announced plans to recognize Palestine, according to Axios.

Carney stated that Canada may recognize the state of Palestine as early as September, during the United Nations General Assembly.

Donald Trump was outraged by this intention, and on Thursday, July 31, he hinted that the US might refuse to finalize the trade agreement with Canada.

“Wow! Canada just announced support for Palestinian statehood. This is going to make it really hard for us to strike a trade deal with them. Oh, Canada!!!” — Trump emotionally posted on the Truth Social platform.

Later that evening, it was reported that the U.S. imposed a 35% tariff on imports from Canada. This is a serious blow to the neighbor’s economy, as Canada is one of America’s main trading partners.

US-Canada conflict

Trade tensions between the US and Canada have been ongoing for several months. Trump had previously threatened to cancel negotiations over Canada’s digital services tax. At that time, Carney’s government made concessions.

However, now the issue is far more complex, involving international politics, the Middle East conflict, and long-standing alliances.

As a result, Canada-US relations are once again being tested — and this time it’s more serious than just tariffs.

Western countries recognizing Palestine

France was one of the first to announce plans to recognize the State of Palestine during the UN General Assembly session in September.

Israeli Prime Minister Benjamin Netanyahu condemned Paris’ intentions.