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Trump Threatens Trade Deal Over Palestine Stance

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President links tariffs to Canada's potential recognition of Palestine as a state.

President Donald Trump has asserted that Canada’s potential recognition of Palestine as a state would jeopardise trade negotiations between the two countries. The statement comes as a deadline looms for countries to finalise trade agreements with the US administration, or face substantial tariffs. Trump communicated this stance via his Truth Social platform early Thursday, following Prime Minister Mark Carney’s indication that Canada would recognise Palestine if the Palestinian Authority meets specific conditions, including holding elections.

Trump has set a Friday deadline for nations to conclude trade discussions with his administration. Failure to do so could result in tariffs as high as 50 per cent on goods exported to the United States. In Canada’s case, exports would be subject to a 35 per cent tariff.

Canada is the United States’ second-largest trading partner. Trump stated on Truth Social that Prime Minister Carney’s intentions to recognise Palestine as a state will make it “very hard for us to make a trade deal with them,”

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