Trump breaks with Canada

The American president once again used his Truth Social platform to announce it: “(…) We put an end to all trade discussions with Canada, with immediate effect”, wrote Donald Trump on Friday.

The reason for this declaration. Furthermore, according to the US head of state: “This scandalous tax” who carries a “Direct and obvious blow” In the United States, according to Donald Trump, and who should start to be collected by Ottawa on June 30.

This is the digital services tax (TSN) set up last year by Canada. For example, In particular, it targets the tech giants which generate annual global turnover greater than $ 1.1 trump breaks canada billion Canadian, and which earn annual revenues in Canada over 20 million Canadian dollars. Therefore, American giants such as Google. Nevertheless, Apple, Meta (Facebook), Amazon or Microsoft, accused of taking advantage of the intangible nature of their activity to escape tax, are therefore concerned.

Donald Trump also criticizes the European Union (EU) for having implemented such a tax. Moreover, and makes it a lever for negotiating in commercial discussions with the European block. According to the governments implementing them. taxes on digital services are provisional, pending the culmination of international negotiations on the taxation of multinationals.

The break with Canada is involved in a particular context. Since Donald Trump’s return to power in January, Canada has been subject trump breaks canada to a specific diet. It is struck by part of the new customs duties. but some of its exports are still protected by its free trade agreement with the United States and Mexico.

The rupture was announced. moreover, the very day of confirmation of commercial relaxation between the United States and China very well received by investors. Donald Trump was indeed congratulated Thursday to have ” sign “ With Beijing an agreement On the acceleration of rare land expeditions to the United States. of which China also reported on Friday. The American executive also seemed to be willing to postpone the deadline for customs duties with the other trade partners in the United States. for the moment set for July 9.

These announcements had propelled two of the three main Wall Street indices, which had recorded new records. Before Trump returned to yet another time By warning trump breaks canada that no dismissal was recorded. On the contrary. “We could extend the deadlines, but also shorten them”he said during a press briefing, evoking 25% customs duties (significantly higher than 10% applied to all countries that export to the United States, with the exception of China).

In the middle of the session, Wall Street therefore tanned after Trump’s announcement on Canada. But finally. the world scholarships ended up on Friday, investors were reassured by the conclusion of the trade agreement between Beijing and Washington. In Europe, the Paris Stock Exchange ended up a clear increase of 1.78%, Frankfurt gained 1.62%, London +0.72%and Milan +0.99%. In New York, the reference indices S&P 500 (+0.52%) and Nasdaq (+0.52%) have both exceeded their highest historic level in fence. The Dow Jones won him 1.00%.