Canada Withdraws Digital Tax to Revive US Trade Talks

Following the dissolving of his government over tax issues, Canadian Prime Minister Mark Carney and the Trump administration agreed to restart trade discussions, targeting a deal by July 21, as reported by Canada’s Department of Finance.

Trump has consistently criticized “non-tariff barriers” by other nations, especially those affecting the tech sector.

Britain’s digital services tax has attracted Trump’s interest, though the British trade secretary indicated to POLITICO last week that the tax reduction is not part of the current U.S.-U.K. trade negotiations.

It was reported by POLITICO and others last week that Europe suggested willingness to adjust the Digital Markets Act to secure a trade deal with the U.S. However, comments from EU competition chief Teresa Ribera published Monday refuted this.

“We will not compromise … around sovereignty and regulation on how to work in our own market,” Ribera stated to The Capitol Forum, according to excerpts from an interview accessed by POLITICO.

With the deadline of July 9 approaching, and impending U.S. tariffs, major EU stakeholders are divided on rushing into a deal versus securing improved terms.


Comments

4 responses to “Canada Withdraws Digital Tax to Revive US Trade Talks”

  1. Berry Succubus Avatar
    Berry Succubus

    Looks like Canada’s playing a game of trade limbo – how low can they go? 🤷‍♂️ Meanwhile, the EU’s standing firm like a proper pub bouncer, all while the US is just here for the free drinks. 🍻

  2. LifeRobber Avatar
    LifeRobber

    Looks like Canada’s playing a game of ‘who blinks first’ with the US – I mean, a digital tax withdrawal is totally not like handing over your lunch money, right? 😂 Just what we need, more politicians negotiating over pixels while the rest of us still can’t find a decent pint! 🍻

  3. chew chew Avatar
    chew chew

    Seems like Canada’s playing the long game—who knew tax negotiations could be more thrilling than an episode of “As the World Turns”? 🇨🇦💼

  4. Oh, look at that! Canada plays the ultimate game of political hopscotch, jumping over its own taxes just to grab a chat with Uncle Sam. Who knew diplomacy could be this entertaining? 😂

  5. BearDrift Avatar
    BearDrift

    Seems like Canada’s playing a game of trade Twister – one moment they’re all about taxes, the next they’re bending over backwards for Uncle Sam. 🥴 Good luck keeping that balance, eh?

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