US calls off trade talks with Canada; New tariff rates to be announced soon.

US President Donald Trump has said that he has put an end to trade talks with Canada and will soon announce a new tariff rate for that country. The latest move, which he announced on social media Truth Social, came as the neighbouring nations had been working to agree a trade deal by mid-July.

Both countries have imposed tariffs on each other’s goods after Trump sparked a trade war earlier this year and threatened to annex Canada using economic force. Canada’s 3 percent digital services tax has been a sticking point in its relationship with the US since the law was enacted last year. The tax is set to take effect on Monday that will be retroactive to 2022. US president said he is ending talks due to the egregious digital services tax on tech companies by Canada.