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Trump warns Canada’s Palestine stance could derail trade deal with US

Canada Prime Minister Mark Carney on Wednesday said that the country plans to recognise a Palestinian state in September, becoming the third G7 nation after France and the UK to make such an announcement.

Trump Canada PalestineCarney said Wednesday that the tariff discussions with the Trump administration had been constructive, but cautioned that a deal might not be reached by the deadline. (AP Photo)

US President Donald Trump on Thursday warned that Canada’s decision to support Palestinian statehood could make it difficult to finalise a trade agreement between the two nations, just a day ahead of looming tariff deadline. “Wow! Canada has just announced that it is backing statehood for Palestine. That will make it very hard for us to make a Trade Deal with them. Oh’ Canada!!!” Trump posted on Truth Social.

Canada Prime Minister Mark Carney on Wednesday said that the country plans to recognise a Palestinian state in September, becoming the third G7 nation after France and the UK to make such an announcement, stating that his goal was to preserve the possibility of a two-state solution.

The two countries are currently in negotiations to reach a trade deal before August 1, the date Trump has set as the deadline to impose a 35% tariff on Canadian goods not covered under the existing US-Mexico-Canada Agreement (USMCA).

Carney said Wednesday that the tariff discussions with the Trump administration had been constructive, but cautioned that a deal might not be reached by the deadline.

Carney, while briefing the reporters, said that the move by Canada depends on the Palestinian Authority’s commitment of democratic reforms, which includes fundamental reform to its governance and holding general elections in 2026 without any representation by militant group Hamas.

Israel and the United States have both rejected Carney’s announcement backing Palestinian statehood.

Almost 150 countries out of the 193 member countries of the United Nations formally recognise a Palestinian state.

(With inputs from Reuters)

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