U.S. President Donald Trump and Canadian Prime Minister Mark Carney both said late Tuesday the 50% U.S. tariff on Canadian goods will be delayed, but Trump said a deal is done while Carney said talks continue.
The Section 338 tariffs were set to take effect at 12:01 a.m. Wednesday but will now be postponed until the end of Aug. 21, according to Carney’s office.
Trump, in a post on Truth Social, said he “paused” the tariffs for three days because the two countries “have a DEAL,” subject to finalizing documents. Trump also said the canceled Keystone XL pipeline “may be awoken from the grave.”
Carney’s office said the U.S. “agreed to postpone” the tariffs while negotiations continue and that “substantial progress has been made, although there is important work still to be done.”
Neither side released terms.
The delay does not resolve the underlying question of cost. No federal agency has published an estimate of what the tariffs, which cover about $20 billion in Canadian imports, would cost U.S. importers or the consumers who may bear the price if they take effect.
