Trump delays 50 per cent tariffs on Canada for three days

Canada and the United States reached a draft deal on Wednesday, averting a potential $28 billion in tariffs on Canadian goods, according to a White House proclamation. U.S. President Donald Trump announced a three-day pause on 50% tariffs set to impact Canadian products shortly after midnight. Canada's Minister Dominic LeBlanc and U.S. Trade Representative Jamie Greer met and expressed confidence in the agreement, which is expected to protect American jobs and strengthen the North American market.

Canadian Prime Minister Mark Carney stated that the new deal enhances Canada's existing trade advantages with the U.S. The trade pact likely includes lower duties on Canadian steel and aluminum, reducing them from 50% to 25%. The White House said Canada agreed to work on resolving trade irritants, including the dairy supply management system and restrictions on American alcohol.

The tariffs were imposed due to Canada's dairy supply management system, auto quotas, and provincial bans on American alcohol. Trump acknowledged the deal as a "good deal for everybody" and claimed it would lower tariff rates for American farmers. The deal has been welcomed by Canadian officials, with Nova Scotia Premier Tim Houston urging a return of liquor sales. The final agreement is expected to be completed by 12:01 a.m. Eastern Time on Saturday.