Ottawa has officially scrapped its planned Digital Services Tax targeting American technology companies, as confirmed by Canada's Finance Ministry in a Sunday evening statement. The move aims to accelerate ongoing trade negotiations with Washington.

The statement noted that Canadian Prime Minister Mark Carney and U.S. President Donald Trump will resume talks, targeting a final agreement by July 21. This development follows President Trump's Friday criticism on Truth Social, where he declared: "Canada has been very difficult to deal with commercially... With this outrageous tax, we will immediately cease all trade discussions."

In response, Prime Minister Carney announced last Monday that both nations had agreed to pursue a new comprehensive economic and security agreement within 30 days.