
Donald Trump threatens trade talks over Canada's intent to recognize Palestinian state
Canada's plan to recognize a State of Palestine
will hinder his ability to reach a trade deal with Ottawa the day before his
August tariff deadline
.
'Wow! Canada has just announced that it is backing statehood for Palestine. That will make it very hard for us to make a Trade Deal with them. Oh' Canada!!!,' Trump
posted in his Truth Social account
shortly after midnight early Thursday morning.
Almost a day earlier on Wednesday, the U.S. President had posted that 'THE AUGUST FIRST DEADLINE IS THE AUGUST FIRST DEADLINE — IT STANDS STRONG, AND WILL NOT BE EXTENDED. A BIG DAY FOR AMERICA!!!'
Late Wednesday afternoon, Prime Minister Mark Carney announced that Canada intends to recognize a Palestinian state at the United Nations General Assembly in September. That commitment is predicated on whether the Palestinian Authority, the governing body in the occupied West Bank, agrees to a series of reforms, such as holding general elections in 2026 in which Hamas can have no role and ensuring that a Palestinian state is demilitarized. The prime minister spoke to Mahmoud Abbas, President of the Palestinian Authority, on Wednesday and said he had agreed to the conditions.
Canada's move followed similar declarations from
France, which did not tie any conditions to its promise
, and the United Kingdom, which said it would
recognize a State of Palestine unless Israel commits to a ceasefire in Gaza
and agrees to a two-state solution without annexing territory in the West Bank. Those decisions followed growing pressure to act as mass starvation grips Gaza amid Israeli restrictions on delivering aid.
In becoming the third G7 nation to make such a declaration in the past week, Canada has deepened the divide between the U.S. and its key allies. Trump, who has disagreed with Israeli Prime Minister Benjamin Netanyahu's denials starvation in the region, has nevertheless said that recognizing a Palestinian state could be viewed as 'rewarding Hamas.'
Carney, in his news conference on Wednesday, told reporters that it was possible trade talks would blow past the Friday deadline. While he framing the ongoing negotiations as 'constructive' and 'complex' he suggested that U.S. tariffs on key sectors like autos, steel and aluminum will likely remain in place given Trump's view that such measures are necessary for the national security of the United States.
More to come.
—With files from Mark Ramzy and Alex Ballingall
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