Canada is one of the United States' top trading partners, with more than $410 billion of goods crossing into the country last year.

Trade talks are reportedly continuing between Canada and the U.S., with formal meetings having taken place since U.S. President Donald Trump revealed more threats and demands last week, a source close to the White House said.

The country’s new prime minister, Mark Carney, has been called the “Trump whisperer,” and negotiations have been cordial and professional. But it’s been a wild ride.

US President Donald Trump has announced that all imports from the EU and Mexico will have a 30% tariff as of August 1. He sent letters to EU President Ursula von der Leyen and Mexico’s President Claudia Sheinbaum informing them of the new rates, which were also posted on his Truth Social account on Saturday.

Trump wrote to Carney to inform him that, from August 1, Canada will face a 35 percent import tariff after the two sides failed to reach a deal during the recent pause. The American leader said he would consider revising the 35 percent tariff "if Canada works with me to stop the flow of Fentanyl".

Donald Trump's tariff policy boosts US revenue. Customs duties hit a record $64 billion in the second quarter of 2025. Most nations avoid retaliation, preferring negotiation. China and Canada initially resisted but later retreated.

India may soon reach a long-awaited trade agreement with the United States, President Donald Trump said in an interview aired Wednesday. The two countries are currently holding their fifth round of talks as negotiators from New Delhi recently returned to Washington.

President Trump has threatened to increase Mexico’s tariff rate to 30 percent starting Aug. 1, claiming the country hasn’t sufficiently tackled drug cartels.