Trump says US, Canada reached deal to delay 50% tariffs

Washington — U.S. President Donald Trump declared on Tuesday that the 50 percent tariffs imposed on $20 billion worth of Canadian goods would be delayed after Canada and the United States reached a last-minute agreement less than two hours before the sanctions were set to take effect. The move, announced through Trump's social media platform, aims to provide more time for negotiations and prevent another strain in the already tense relations between the two historic allies.

In an update posted on Truth Social, Trump stated, "I have paused the 50% Tariffs against Canada, that were scheduled to kick in tomorrow morning for a three day period, based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!" Had the tariffs gone into effect at 12:01 a.m. on Wednesday, they would have impacted Canadian products such as hockey sticks and tongue depressors.

However, the political consequences of the deal could have been more significant than the economic impact. Canada had warned of retaliatory measures in the form of tariffs, exacerbating a trade dispute between countries that together generated $880 billion in trade.