Latest news with #-Mexico-CanadaAgreement
The Mainichi
30-06-2025
- Business
- The Mainichi
Canadian Prime Minister Carney says trade talks with US resume after Canada rescinded tech tax
TORONTO (AP) -- Canadian Prime Minister Mark Carney said late Sunday trade talks with U.S. have resumed after Canada rescinded its plan to tax U.S. technology firms. U.S. President Donald Trump said Friday that he was suspending trade talks with Canada over its plans to continue with its tax on technology firms, which he called "a direct and blatant attack on our country." The Canadian government said "in anticipation" of a trade deal "Canada would rescind" the Digital Serves Tax. The tax was set to go into effect Monday. Carney and Trump spoke on the phone Sunday, and Carney's office said they agreed to resume negotiations. "Today's announcement will support a resumption of negotiations toward the July 21, 2025, timeline set out at this month's G7 Leaders' Summit in Kananaskis," Carney said in a statement. Carney visited Trump in May at the White House, where he was polite but firm. Trump traveled to Canada for the G7 summit in Alberta, where Carney said that Canada and the U.S. had set a 30-day deadline for trade talks. Trump, in a post on his social media network last Friday, said Canada had informed the U.S. that it was sticking to its plan to impose the digital services tax, which applies to Canadian and foreign businesses that engage with online users in Canada. The digital services tax was due to hit companies including Amazon, Google, Meta, Uber and Airbnb with a 3% levy on revenue from Canadian users. It would have applied retroactively, leaving U.S. companies with a $2 billion U.S. bill due at the end of the month. "Rescinding the digital services tax will allow the negotiations of a new economic and security relationship with the United States to make vital progress," Canadian Finance Minister Francois-Philippe Champagne said in a statement. Champagne also spoke with U.S. Treasury Secretary Scott Bessent on Sunday. Trump's announcement Friday was the latest swerve in the trade war he's launched since taking office for a second term in January. Progress with Canada has been a roller coaster, starting with the U.S. president poking at the nation's northern neighbor and repeatedly suggesting it would be absorbed as a U.S. state. Canada and the U.S. have been discussing easing a series of steep tariffs Trump imposed on goods from America's neighbor. Trump has imposed 50% tariffs on steel and aluminum as well as 25% tariffs on autos. He is also charging a 10% tax on imports from most countries, though he could raise rates on July 9, after the 90-day negotiating period he set would expire. Canada and Mexico face separate tariffs of as much as 25% that Trump put into place under the auspices of stopping fentanyl smuggling, though some products are still protected under the 2020 U.S.-Mexico-Canada Agreement signed during Trump's first term.
The Hindu
30-06-2025
- Business
- The Hindu
Canada rescinds tax hitting U.S. tech firms, to resume trade talks, says Prime Minister Carney
Canadian Prime Minister Mark Carney said late on Sunday (June 29, 2025) trade talks with U.S. have resumed after Canada rescinded its plan to tax U.S. technology firms. U.S. President Donald Trump said on Friday that he was suspending trade talks with Canada over its plans to continue with its tax on technology firms, which he called 'a direct and blatant attack on our country.' The Canadian government said 'in anticipation' of a trade deal 'Canada would rescind' the Digital Serves Tax. The tax was set to go into effect Monday. Mr. Carney's office said Mr. Carney and Mr. Trump have agreed to resume negotiations. 'Today's announcement will support a resumption of negotiations toward the July 21, 2025, timeline set out at this month's G7 Leaders' Summit in Kananaskis,' Mr. Carney said in a statement. Mr. Carney visited Mr. Trump in May at the White House, where he was polite but firm. Mr. Trump travelled to Canada for the G7 summit in Alberta, where Mr. Carney said that Canada and the U.S. had set a 30-day deadline for trade talks. Mr. Trump, in a post on his social media network last Friday, said Canada had informed the U.S. that it was sticking to its plan to impose the digital services tax, which applies to Canadian and foreign businesses that engage with online users in Canada. The digital services tax was due to hit companies including Amazon, Google, Meta, Uber and Airbnb with a 3% levy on revenue from Canadian users. It would have applied retroactively, leaving U.S. companies with a $2 billion U.S. bill due at the end of the month. 'Rescinding the digital services tax will allow the negotiations of a new economic and security relationship with the United States to make vital progress,' Canadian Finance Minister François-Philippe Champagne said in a statement. Mr. Trump's announcement on Friday was the latest swerve in the trade war he's launched since taking office for a second term in January. Progress with Canada has been a roller coaster, starting with the U.S. president poking at the nation's northern neighbour and repeatedly suggesting it would be absorbed as a U.S. state. Canada and the U.S. have been discussing easing a series of steep tariffs Mr. Trump imposed on goods from America's neighbour. Mr. Trump has imposed 50% tariffs on steel and aluminum as well as 25% tariffs on autos. He is also charging a 10% tax on imports from most countries, though he could raise rates on July 9, after the 90-day negotiating period he set would expire. Canada and Mexico face separate tariffs of as much as 25% that Mr. Trump put into place under the auspices of stopping fentanyl smuggling, though some products are still protected under the 2020 U.S.-Mexico-Canada Agreement signed during Mr. Trump's first term.
The Hill
30-06-2025
- Business
- The Hill
Canadian Prime Minister Carney says trade talks with US resume after Canada rescinded tech tax
TORONTO (AP) — Canadian Prime Minister Mark Carney said late Sunday trade talks with U.S. have resumed after Canada rescinded its plan to tax U.S. technology firms. U.S. President Donald Trump said Friday that he was suspending trade talks with Canada over its plans to continue with its tax on technology firms, which he called 'a direct and blatant attack on our country.' The Canadian government said 'in anticipation' of a trade deal 'Canada would rescind' the Digital Serves Tax. The tax was set to go into effect Monday. Carney and Trump spoke on the phone Sunday, and Carney's office said they agreed to resume negotiations. 'Today's announcement will support a resumption of negotiations toward the July 21, 2025, timeline set out at this month's G7 Leaders' Summit in Kananaskis,' Carney said in a statement. Carney visited Trump in May at the White House, where he was polite but firm. Trump traveled to Canada for the G7 summit in Alberta, where Carney said that Canada and the U.S. had set a 30-day deadline for trade talks. Trump, in a post on his social media network last Friday, said Canada had informed the U.S. that it was sticking to its plan to impose the digital services tax, which applies to Canadian and foreign businesses that engage with online users in Canada. The digital services tax was due to hit companies including Amazon, Google, Meta, Uber and Airbnb with a 3% levy on revenue from Canadian users. It would have applied retroactively, leaving U.S. companies with a $2 billion U.S. bill due at the end of the month. 'Rescinding the digital services tax will allow the negotiations of a new economic and security relationship with the United States to make vital progress,' Canadian Finance Minister François-Philippe Champagne said in a statement. Champagne also spoke with U.S. Treasury Secretary Scott Bessent on Sunday. Trump's announcement Friday was the latest swerve in the trade war he's launched since taking office for a second term in January. Progress with Canada has been a roller coaster, starting with the U.S. president poking at the nation's northern neighbor and repeatedly suggesting it would be absorbed as a U.S. state. Canada and the U.S. have been discussing easing a series of steep tariffs Trump imposed on goods from America's neighbor. Trump has imposed 50% tariffs on steel and aluminum as well as 25% tariffs on autos. He is also charging a 10% tax on imports from most countries, though he could raise rates on July 9, after the 90-day negotiating period he set would expire. Canada and Mexico face separate tariffs of as much as 25% that Trump put into place under the auspices of stopping fentanyl smuggling, though some products are still protected under the 2020 U.S.-Mexico-Canada Agreement signed during Trump's first term.
Mint
28-06-2025
- Business
- Mint
Amazon, Google, Meta, and Uber slapped with $2 billion retroactive tax bill, Trump suspends Canada trade talks
US President Donald Trump has suspended trade talks with Canada, citing the country's refusal to back down on a new 3% digital services tax, calling it 'a direct and blatant attack on our country.' The digital services tax imposed by Canada will impact major tech companies like Amazon, Google, Meta and Uber. The tax is set to go into effect Monday and apply retroactively, leaving U.S. companies with a $2 billion U.S. bill due at the end of the month, Fortune reported. Trump called the tax 'egregious' and immediately terminated all trade discussions with Canada, vowing to announce new tariffs on Canadian goods within seven days. Trump later said he expects that Canada will remove the tax, citing the U.S.' economic leverage. 'Economically we have such power over Canada. We'd rather not use it,' Trump said in the Oval Office. 'It's not going to work out well for Canada. They were foolish to do it.' Canadian Prime Minister Mark Carney responded to the situation on Friday by saying that his country would 'continue to conduct these complex negotiations in the best interests of Canadians. It's a negotiation.' This move is the latest development in Trump's ongoing trade disputes since his second term began. The U.S. has already imposed 50% tariffs on steel and aluminum as well as 25% tariffs on autos and a general 10% tax on imports from most countries. Canada and Mexico face separate tariffs of as much as 25% that Trump put into place under the auspices of stopping fentanyl smuggling, though some products are still protected under the 2020 U.S.-Mexico-Canada Agreement signed during Trump's first term. Despite these tensions, Canada remains a crucial trading partner, supplying a large portion of crude oil, electricity and critical minerals. As per data compiled by Fortune, around 60% of U.S. crude oil imports are from Canada, and 85% of U.S. electricity imports as well. Canada is also the largest foreign supplier of steel, aluminum and uranium to the U.S. and has 34 critical minerals and metals that the Pentagon is eager to obtain, the news agency said. Daniel Beland, a political science professor at McGill University in Montreal, said it is a domestic tax issue, but it has been a source of tensions between Canada and the United States for a while because it targets U.S. tech giants. 'The Digital Services Tax Act was signed into law a year ago so the advent of this new tax has been known for a long time,' Beland said. 'Yet, President Trump waited just before its implementation to create drama over it in the context of ongoing and highly uncertain trade negotiations between the two countries.'
Los Angeles Times
27-06-2025
- Business
- Los Angeles Times
Trump says he's ending trade talks with Canada over its ‘egregious Tax' on technology firms
WASHINGTON — President Donald Trump said Friday that he's suspending trade talks with Canada over its plans to continue with its tax on technology firms, which he called 'a direct and blatant attack on our country.' Trump, in a post on his social media network, said Canada had just informed the U.S. that it was sticking to its plan to impose the digital services tax, which applies to Canadian and foreign businesses that engage with online users in Canada. The tax is set to go into effect Monday. 'Based on this egregious Tax, we are hereby terminating ALL discussions on Trade with Canada, effective immediately. We will let Canada know the Tariff that they will be paying to do business with the United States of America within the next seven day period,' Trump said in his post. Canadian Prime Minister Mark Carney said his country would 'continue to conduct these complex negotiations in the best interests of Canadians. It's a negotiation.' Trump's announcement was the latest swerve in the trade war he's launched since taking office for a second term in January. Progress with Canada has been a roller coaster, starting with the U.S. president poking at the nation's northern neighbor and repeatedly suggesting it would be absorbed as a U.S. state. Carney visited Trump in May at the White House, where he was polite but firm with Trump. Trump last week traveled to Canada for the G7 summit in Alberta, where Carney said that Canada and the U.S. had set a 30-day deadline for trade talks. The digital services tax will hit companies including Amazon, Google, Meta, Uber and Airbnb with a 3% levy on revenue from Canadian users. It will apply retroactively, leaving U.S. companies with a $2 billion U.S. bill due at the end of the month. Canada and the U.S. have been discussing easing a series of steep tariffs Trump imposed on goods from America's neighbor. The Republican president earlier told reporters that the U.S. was soon preparing to send letters to different countries, informing them of the new tariff rate his administration would impose on them. Trump has imposed 50% tariffs on steel and aluminum as well as 25% tariffs on autos. He is also charging a 10% tax on imports from most countries, though he could raise rates on July 9, after the 90-day negotiating period set by him would expire. Canada and Mexico face separate tariffs of as much as 25% that Trump put into place under the auspices of stopping fentanyl smuggling, though some products are still protected under the 2020 U.S.-Mexico-Canada Agreement signed during Trump's first term. Price writes for the Associated Press.
