Summary
Canadian Prime Minister Mark Carney announced that trade talks with the United States have resumed after Canada withdrew its plan to tax U.S. technology companies. The talks had been halted when President Donald Trump objected to this tax, calling it unfair, but they are now back on track.
Key Facts
- Canada planned to tax U.S. tech firms like Amazon, Google, and Meta with a 3% levy on revenue from Canadian users.
- President Trump halted trade talks with Canada due to this planned tax, considering it an attack on the U.S.
- Canada's Digital Services Tax would have cost U.S. companies $2 billion.
- Prime Minister Carney and President Trump spoke on Sunday and agreed to resume trade talks.
- Trade negotiations are aiming for a deadline set for July 21, 2025, as discussed at the G7 Summit.
- The move to rescind the tax removed the obstacle for continuing trade discussions between the U.S. and Canada.
- Canada's Finance Minister also communicated with the U.S. Treasury to support the progression of trade talks.
