Thu 31 July 2025:
Canada and the US are working on negotiating a trade deal by August 1, with Trump threatening a 35% tariff on Canada.
United States President Donald Trump has said it will be difficult to make a trade deal with Canada after it announced that it would back Palestinian statehood, following the examples of the United Kingdom and France amid growing international condemnation of Israel’s war on Gaza.
“Wow! Canada has just announced that it is backing statehood for Palestine. That will make it very hard for us to make a Trade Deal with them. Oh’ Canada!!!” Trump wrote on his social media platform Truth Social on Thursday.
Trump’s post comes a day after Carney announced that Canada is planning to recognise the State of Palestine at the 80th session of the United Nations General Assembly in September if certain conditions are met, following recent announcements by France and the UK.
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Canada and the US are working on negotiating a trade deal by August 1, the date Trump is threatening to impose a 35 percent tariff on all Canadian goods not covered by the US-Mexico-Canada trade agreement.
Carney said on Wednesday that tariff negotiations with Trump’s administration have been constructive, but the talks may not conclude by the deadline.
Carney said recognising Palestinian statehood was necessary to preserve hopes of a two-state solution to the Israeli-Palestinian conflict, a longstanding Canadian goal that was “being eroded before our eyes”.
The prime minister said the worsening suffering of civilians in Gaza left “no room for delay in coordinated international action to support peace”.
The US has rejected moves to recognise a Palestinian state, saying the policy rewards Hamas. The Trump administration has been uncompromising in its support for Israel, despite accusations by UN experts and rights groups that the US ally is committing a genocide against Palestinians.
The Israeli military has killed more than 60,000 Palestinians in Gaza and flattened most of the territory since the start of the war in 2023.
The Israeli embassy in Ottawa said “recognising a Palestinian state in the absence of accountable government, functioning institutions, or benevolent leadership, rewards and legitimises the monstrous barbarity of Hamas on October 7, 2023”.
SOURCE: INDEPENDENT PRESS AND NEWS AGENCIES
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