Overview

• Canada’s finance ministry confirmed the 3% levy on digital revenues above C$20 million, retroactive to 2022, has been repealed to mend ties with the US
• Prime Minister Mark Carney and President Trump agreed to restart bilateral trade talks with a view to finalizing a deal by July 21, 2025
• The withdrawn tax threatened more than C$3 billion in charges for US tech giants including Alphabet, Amazon and Meta
• President Trump said he will not extend the 90-day pause on reciprocal tariffs beyond July 9 and will send personalized letters to trading partners outlining their tariff rates
• Experts warn the expected framework agreements may leave key details unresolved compared with traditional, comprehensive trade deals