Trump says Washington and Ottawa strike last-minute trade pact to avoid heavy tariffs

With a midnight deadline looming, President Donald Trump

With a midnight deadline looming, President Donald Trump confirmed that the United States and Canada have reached a last-minute agreement to prevent the imposition of steep tariffs on Canadian goods. The deal, announced just hours before the scheduled enforcement, temporarily halts a planned 50 percent levy on a range of exports from its northern neighbor.

In a brief statement, Trump framed the agreement as a positive step for both economies, emphasizing that the two countries found common ground after intense negotiations. The White House did not immediately release full details of the accord, but officials indicated that key trade disputes, particularly around dairy and lumber, were addressed during the talks.

Canadian Prime Minister Justin Trudeau also confirmed the breakthrough, noting that the agreement protects workers and businesses on both sides of the border. He stressed that Canada remained firm on its core interests while showing flexibility to reach a fair outcome.

The pause on the tariff, which was set

The pause on the tariff, which was set to take effect at midnight, provides a temporary reprieve for Canadian exporters who had braced for significant disruptions. Industry groups on both sides had warned that the levy would have raised costs for consumers and strained supply chains across multiple sectors, including agriculture and manufacturing.

Negotiators from both nations worked through the final hours to bridge differences, with sources describing the talks as intense but constructive. The deal is seen as a relief for businesses that had already begun adjusting to a potential trade rupture.

Observers note that this agreement could set a tone for future negotiations between the two countries, which have long been each other's largest trading partners. While the immediate crisis is averted, analysts say the underlying issues that prompted the dispute may resurface unless a more permanent arrangement is reached.

For now, the focus shifts to the implementation

For now, the focus shifts to the implementation of the pact, with both governments pledging to monitor compliance and continue dialogue. The announcement brings a measure of stability to cross-border trade, at least for the foreseeable future.