Ottawa/Washington, July 1 (V7N) — The United States will immediately resume trade negotiations with Canada following Ottawa’s decision to withdraw its proposed digital services tax, which had primarily targeted major U.S. technology companies, White House economic adviser Kevin Hassett confirmed on Monday.
 
Speaking to Fox News Channel, Hassett responded affirmatively when asked whether trade talks between the two countries would restart: “Absolutely,” he said, signaling a swift return to the negotiating table after tensions had escalated over Canada’s planned levy.
 
The now-abandoned digital services tax had drawn strong criticism from Washington, with U.S. officials arguing that it unfairly singled out American tech giants such as Google, Amazon, and Meta. The proposed measure was part of a broader global debate over how to tax digital commerce and tech companies that generate significant revenues without a physical presence in many countries.
 
Ottawa's reversal marks a significant step in easing trade tensions and reinforces the importance of cross-border economic cooperation between the two North American allies. Details on the timeline and scope of the renewed trade discussions are expected to be announced in the coming days.
 
The decision is being viewed as a diplomatic win for both sides, paving the way for smoother economic ties and potential progress on outstanding bilateral trade issues.
 
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