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Trump Says Canada’s Backing of Palestinian Statehood Threatens US Trade Deal

Trump Says Canada’s Backing of Palestinian Statehood Threatens US Trade Deal

Last updated: July 31, 2025 6:48 pm
By Evgenia Filimianova
1 Min Read
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Trump Says Canada’s Backing of Palestinian Statehood Threatens US Trade Deal

President Donald Trump meets Canadian Prime Minister Mark Carney in the Oval Office of the White House, in Washington, D.C., on May 6, 2025. AP Photo/Evan Vucci

U.S. President Donald Trump said on Thursday it would be “very hard” to reach a trade agreement with Canada after Prime Minister Mark Carney announced plans to recognize a Palestinian state.

Trump’s remarks come one day ahead of the Aug. 1 deadline for a new tariff agreement between the two nations. Canada is the second-largest U.S. trading partner, buying $349.4 billion of American goods last year and exporting $412.7 billion to the United States.

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