Canada to drop many revenge definitions on the United States

Canadian Prime Minister Mark Carney said on Friday that his country will drop some billions of dollars in the revenge definitions of American goods, although it will maintain fees on cars, steel and aluminum.

This comes a day after he and President Donald Trump spoke over the phone for the first time since the two countries were absent from the deadline that she imposed self -imposed to reach a commercial agreement.

Canada put a 25 % tax on about 30 billion dollars (16 billion pounds; 21.7 billion dollars) of American goods on a range of products, including orange juice and washing machines.

The tax height was a revenge on the American customs tariff for Canada, whose value is 35 % on all goods that are not compatible with the current free deal of countries.

Carney said Canada will now coincide with the United States by ending its definitions on the goods compatible with the US Free Trade Agreement, Mexico and Canada (USMCA). He said that “would re -establish the free trade of the vast majority” of goods that move between the two countries.

Carney said that the decision would come into effect on September 1.

In a BBC’s US news partner, the White House said it welcomes the step of Canada, adding that he was “long ago” and that the United States is looking forward to continuous discussions with its northern neighbor on trade and national security.

Trump later told reporters that he will talk again on the phone.

Canada is one of the many countries that have been exposed to the United States as part of the Trump global trade strategy, but it is only one of the two countries – besides China – which has placed revenge fees on American goods in response.

The poll shows that the majority of Canadians support the revenge definitions of the United States.

Carney, who was elected in a general election in April, a campaign against the aggressive “elbows” approach to negotiating with Trump, with reference to the famous ice hockey.

When the correspondents were asked if Canada relieves its approach, Carney said it had a better tariff deal with the United States more than many other countries due to freedom of trade.

He said this puts the actual tariff rate on Canadian goods by about 5.6 %, which is much lower than an average of about 16 % for other countries.

“While we are working to address distinguished commercial issues with the United States, it is important to do everything we can to maintain this unique feature of Canadian workers and companies,” he said.

Since his return to the White House in January, Trump has imposed definitions or raised them on goods from all over the world, and threatened to rise as he is negotiating the commercial deals he sees favorable to the United States.

The US ambassador to Canada, House Husera, said that Canada was at risk at risk by maintaining a tariff tariff, and told the Canadian Global News company last week that it “took the carpet out of USMCA”.

Washington is also struggling with the speech coming from some Canadian politicians against Trump and the negotiating team in the United States.

“They will attack them personally, not on politics, but they are personally,” said Huxra. “Once again, this is a Canadian decision. All we do is to respond to it.”

Carney said on Friday that the focus will now turn into accelerating negotiations on cars, steel, aluminum, wood, and other important sectors before a scheduled review of the USMCA free trade agreement next year.

The United States has put a 50 % tariff on all steel and aluminum imports, with the exception of those in the United Kingdom, as well as copper imports. It has also been imposed 25 % on aluminum imports.

Canada, for its part, put a 25 % tariff on American steel, aluminum and cars. Carney said this will remain in place now.

Economists have warned that the American tariff on steel and aluminum is “greatly turbulent” for Canada, because it is a major resource for both minerals of the United States. Canadian companies have already reported discounts and canceling contracts as a result.

Car manufacturing can also be weak, given how the three North American countries intertwine to make cars. The car usually crosses the border between the United States, Canada and Mexico several times as it is collected and prepared for sale.

The province of Ontario, the center of the auto industry in Canada, has already reported the loss of 38,000 jobs in the past three months, and the largest part of manufacturing was.