US President Donald Trump on Tuesday (local time) announced that he is pausing the 50% tariffs on Canada he had announced earlier for a period of three days.
Trump wrote on Truth Social, “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!”
As per the US Trade Representative’s office, the 50% duties would have affected around $20 billion of US imports from Canada.
The latest deal comes after a week of negotiations between the two sides.
The tariffs were supposed to go into effect from 12:01 am Wednesday (US time). If they did, Canada would have felt the heat ranging from hockey sticks to tongue depressors.
Around 72% of all goods exported by Canada in 2025 went to the United States, thus highlighting how much Canberra depends on Washington for its international trade.
The tariffs would have affected the US as well, since US importers would have to bear the costs of the same before passing them on to consumers. This could have adversely affected the Republican Party ahead of the upcoming midterm elections.
This is a developing story. Check back later for more updates.
