U.S. to restart trade negotiations with Canada immediately, White House says
- The U.S. announced it plans to promptly resume trade negotiations with Canada following Ottawa’s decision to eliminate its digital services tax on June 29, 2025.
- The tax removal followed a suspension of trade talks by U.S. President Trump on June 27, 2025, and a phone call between Trump and Prime Minister Carney after the G7 Summit in Alberta.
- This resumption occurs alongside Illinois beginning a series of tax hikes and new laws on July 1, 2025, including an increase in the state gasoline tax and higher minimum wages in Chicago.
- Illinois will raise its gasoline tax by 2.69%, increasing it by 1.3 cents per gallon to $0.483, and will increase the diesel fuel tax to $0.558 per gallon as part of the new budget.
- The trade talks restart signals improved U.S.-Canada relations, while Illinois’ tax changes aim to fund infrastructure, with laws restricting transportation funds to intended uses only.
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Canada 'caved' to Trump on tech tax
The White House said Monday that Canadian Prime Minister Mark Carney had "caved" to President Donald Trump, after Canada dropped a tax on US tech firms that prompted Trump to call off trade talks. "It's very simple. Prime Minister Carney and Canada caved to President Trump and the United States of America," Press Secretary Karoline Leavitt said in a daily briefing. Leavitt said Trump "knows how to negotiate," adding that "every country on the pl…
June 30, 2025 – Washington – EFE. The White House announced on Monday that trade negotiations with Canada have resumed, after Ottawa decided to eliminate the tax on digital services affecting large US technology companies. This measure was communicated after Canada announced its withdrawal from the tax. Kevin Hassett, an economic adviser to the White House, stated in Fox News that the negotiations would certainly continue after the Canadian deci…
Canada-US Trade Talks Resuming Immediately After Vow to Axe Digital Services Tax: White House
Trade negotiations between Canada and the United States are resuming immediately after Ottawa promised to drop its Digital Services Tax impacting U.S. tech giants, according to a White House official. U.S. President Donald Trump said talks had been terminated at the end of last week because Canada was implementing its Digital Services Tax (DST). Ottawa responded on June 29 by saying it would introduce legislation to rescind the tax. Kevin Hasset…
This decision follows the abandonment of the Canadian digital services tax.
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