HomeEconomyPromoted by a tax, Donald Trump brutally ends commercial negotiations with Canada

Promoted by a tax, Donald Trump brutally ends commercial negotiations with Canada

The US president judges that the digital services tax aimed at large companies such as Amazon or Google is a “direct and obvious” brought to the United States.

The president of the United States, Donald Trump, announces on Friday that ends commercial negotiations with his neighboring Canadian, judging that Ottawa’s tax on digital services is a “direct and obvious” brought to the United States.

“We will tell Canada in seven days the customs tasks they will have to pay to do business with the United States of America,” Trump said.

Canada has established a tax on digital services imposed on large technological companies such as Amazon, Google, Uber, Meta or Airbnb. It must enter into force on June 30 and derive 3% of the income of more than $ 20 million of Canadian and foreign digital companies that generate an annual global turnover of more than $ 1.1 billion Canadian dollars.

The US president also criticizes the European Union (EU) for implementing said tax, and makes it a lever for negotiation in commercial discussions with the European bloc.

Pressures in Canada

Since the beginning of the year, Canada, whose economy has been extremely integrated in that of the United States, has been upset by repeated threats and the president of the United States in customs tasks. Donald Trump notably expressed his desire to attach his neighbor.

In early June, Canada’s Prime Minister Mark Carney, considered “illegal and unjustified” and promised to respond to 50% of customs duties duplicated by US President Donald Trump in steel and aluminum, of which the country is the leading supplier of the United States.

Author: PL with AFP
Source: BFM TV

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