Trump terminates trade negotiations with Canada due to Canadian digital services tax

ChainCatcher news, Trump stated on social media that he will terminate all trade negotiations with Canada due to Canada's digital services tax on American tech companies. He called Canada's move "a direct and obvious attack on our country."

Canada's digital services tax (DST) imposes a 3% tax on large tech companies with annual revenues exceeding $800 million, applicable to social media services and online advertising, which will affect tech giants like Meta (the parent company of Facebook and Instagram), Amazon, and Google's parent company Alphabet.

Trump stated that based on this "horrible tax," he will immediately terminate all trade negotiations with Canada and will inform Canada within a week of the tariffs they will pay for trading with the United States. The Prime Minister's Office of Canada responded that the Canadian government will continue to engage in these complex negotiations with the United States to protect the interests of Canadian workers and businesses.