Trump ends all U.S. trade talks with Canada over digital services tax
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Trump ends all U.S. trade talks with Canada over digital services tax

Why This Matters

Trump's announcement on Truth Social accused Canada of "copying the European Union" with the "egregious" tax.

June 27, 2025
06:04 PM
2 min read
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President Donald Trump on Friday said the United States is immediately "terminating ALL discussions on Trade with Canada.

"Trump said on Truth Social that he made the decision in response to Ottawa imposing a digital services tax on U. firms.

"We will let Canada know the Tariff that they will be paying to do with the United States of America within the next seven day period," Trump added.

President Donald Trump speaks during a meeting with Canadian Prime Minister Mark Carney at the G7 summit in Kananaskis, Alberta, Canada, June 16, 2025.

Kevin Lamarque | ReutersPresident Donald Trump on Friday said the United States is immediately "terminating ALL discussions on Trade with Canada" in response to Ottawa's decision to impose a digital services tax on American firms.

Trump's announcement on Truth Social accused Canada of "copying the European Union" with the "egregious" tax.

"We will let Canada know the Tariff that they will be paying to do with the United States of America within the next seven day period," Trump added.

The office of Canadian Prime Minister Mark Carney did not immediately respond to CNBC's request for .

The president's angry declaration suddenly imperils America's trade relationship with a close ally that has long been one of its top two global trading partners.

Goods trade with Canada totaled roughly $762 billion last year, according to the office of the U. Trade representative.

Read Trump's full post:We have just been informed that Canada, a very difficult Country to TRADE with, including the fact that they have charged our Farmers as much as 400% Tariffs, for years, on Dairy ducts, has just announced that they are putting a Digital Services Tax on our American nology Companies, which is a direct and blatant attack on our Country.

They are obviously copying the European Union, which has done the same thing, and is currently under discussion with us, also.

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 with the United States of America within the next seven day period. Thank you for your attention to this matter. This is news.

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