US President Donald Trump has paused planned 50% tariffs on Canadian goods for three days, citing an agreement in principle with Ottawa reached after last-minute talks in Washington, hours before the levies were due to take effect.
"I have paused the 50% Tariffs against Canada, that were scheduled to kick in tomorrow morning for a three day period, based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!" Trump wrote on Truth Social.
He added that the Keystone XL pipeline, "long ago killed by Sleepy Joe Biden, may be awoken from the grave!"
Trump did not disclose further details of the agreement, and Canadian Prime Minister Mark Carney's office did not immediately comment.
The 50% tariffs, which had been set to take effect from midnight, would have hit roughly $20 billion worth of Canadian exports to the US, including goods such as hockey sticks, building materials, liquor and certain clothing categories, according to the US Trade Representative's office.
The threatened levies followed months of strained trade talks between Washington and Ottawa.
US Trade Representative Jamieson Greer met Canadian officials in Washington on Tuesday as both sides sought a resolution.
ALSO READ: US, Canada Dig In On Tariff Negotiations As Deal Hopes Fade
Carney had described the negotiations as "very intense and delicate," declining to elaborate publicly.
Reports of the talks indicated Washington had been pushing Canada to lift its retaliatory tariffs on US autos, adjust dairy quota allocations, and end a boycott that had kept US liquor off the shelves of provincially run stores in Canada, while Ottawa sought a broader reduction in overall tariff rates.
The dispute had further strained relations already under pressure from Trump's repeated suggestions that Canada could become the 51st US state, a remark that has fuelled public anger in Canada, including a petition seeking the removal of US Ambassador Pete Hoekstra that has drawn close to 218,000 signatures.
ALSO READ: $20-Billion Blow: US To Slap 50% Tariffs On Canadian Goods Starting Aug 19
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