Trump announces deal with Canada, puts 50% tariffs on hold
Photo: US President Donald Trump (Getty Images)
The United States announced that it had reached a deal with Canada, delaying the introduction of new 50% tariffs on Canadian goods, CNN reports.
Initially, US President Donald Trump announced a three-day delay in the tariffs, "subject to finalization of documents." He later told reporters that the two sides had reached an agreement during talks with Canadian Prime Minister Mark Carney.
"We’ve come to a deal with Canada," Trump said. However, he noted that the agreement still needs to be finalized.
According to the US president, both sides will make certain concessions and take appropriate measures. He did not provide further details about the planned agreement.
What is known about the new tariffs
The 50% tariffs were set to take effect at midnight and cover a wide range of Canadian goods, including dairy products, alcohol and furniture. According to CNN estimates, the new tariffs could have affected roughly $20 billion worth of imports.
Canadian Prime Minister Mark Carney confirmed that the tariffs had been delayed until the end of the day on August 21.
"Substantial progress has been made, although there is important work still to be done," he said.
At the end of July, US President Donald Trump announced sweeping new tariffs on Washington’s trading partners. These included a 50% tariff on imports from Canada, which was expected to affect a range of goods, as well as additional restrictions on Brazil and other countries.
Trump also threatened new tariffs on the European Union amid disputes with European regulators. His trade policy has drawn criticism from both international partners and US businesses, some of which have challenged the administration’s actions in court.
