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Canada Backs Down — Trade Talks with the U.S. Are Back On
Just hours before its controversial Digital Services Tax was set to take effect, Canada has made a dramatic U-turn — scrapping the 3% levy that targeted U.S. tech giants like Google, Amazon, and Meta.
Why?
👉 Mounting pressure from Washington
👉 Threats of retaliatory U.S. tariffs on Canadian autos and steel
👉 Trump's blunt warning: "No deal if the tax goes through"
🗓 With the rollback now official, Canada and the U.S. are heading back to the negotiating table, aiming to finalize a broader trade and security pact by July 21 — as agreed at the G7.
📌 This is a major win for Big Tech and a clear signal of how U.S. leverage still dominates North American trade politics.
💬 Canadian PM Mark Carney:
“This step allows us to resume progress toward a stronger, modernized U.S.–Canada economic framework.”
#Canada # USMCA #DigitalTax # TradeDeal #TechPolicy # Geopolitics #Tariffs # RobinhoodEffect #BigTech # Trump #G7 # GlobalMarkets