President Donald Trump announced late Tuesday that he is pausing proposed 50% tariffs on $20 billion worth of Canadian imports following direct negotiations, citing a preliminary trade agreement between the United States and Canada pending final documentation.<\/p>\n
President Donald Trump said late Tuesday that he is pausing 50% tariffs on Canadian goods scheduled to take effect Wednesday, saying the two countries have reached a deal pending final documentation.<\/p>\n
“I have paused the 50% Tariffs against Canada, that were scheduled to kick in tomorrow morning for a three day period, based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!” Trump wrote on Truth Social<\/a>. “The great Keystone XL Pipeline, long ago killed by Sleepy Joe Biden, may be awoken from the grave!” Trump added.<\/p>\n The Keystone XL Pipeline project was designed to transport 830,000 barrels of crude oil per day from Alberta, Canada, to Steele City, Nebraska, before Calgary-based TC Energy terminated the $9 billion project in June 2021 following President Joe Biden’s cancellation of its cross-border permit. Re-establishing the pipeline infrastructure would require renewed presidential authorization and updated environmental reviews, according to official records maintained by the U.S. Department of Energy<\/a>.<\/p>\n Trump’s announcement came just hours before the tariffs were scheduled to take effect for a three-day period under the Tariff Act of 1930<\/a>. Section 338 of the 1930 statute grants the executive branch authority to levy retaliatory duties of up to 50% on products from foreign nations determined to discriminate against U.S. commerce.<\/p>\n The duties would have covered roughly $20 billion in Canadian imports, including liquor, dairy products, vehicles, hockey equipment and other goods. Certain food products, wearables, synthetic materials and industrial goods were also expected to be affected.<\/p>\n Trump spoke with Canadian Prime Minister Mark Carney<\/a> on Monday night and reportedly spoke with him again Tuesday afternoon, according to FOX Business correspondent Edward Lawrence.<\/p>\n