Trump Prepared to Hike Tariffs on Canadian Goods

As the August 1 U.S. tariff deadline nears, no trade deal has been reached between the United States and Canada, raising the prospect that President Donald Trump will increase tariffs on certain Canadian goods from 25% to 35%. White House officials confirmed Trump is ready to sign executive orders enacting the higher tariffs by midnight if negotiations fail. Canadian officials are engaged in last-minute talks in Washington as Prime Minister Mark Carney faces mounting pressure over the country’s economic vulnerability and his handling of the crisis. Tensions have risen over Canada's decision to recognize Palestinian statehood, which Trump said complicates talks but is not a deal-breaker. Meanwhile, Trump has extended a 90-day tariff reprieve for Mexico and reached or announced deals with other countries, though specific details remain unclear. Economists warn that continued tariffs could contribute to global inflation and uncertainty in trade relations.