Trump pauses 50% tariffs on Canada for three days after trade deal announced

U.S. President Donald Trump announced Tuesday evening he is pausing 50 per cent tariffs scheduled to take effect at midnight, citing a trade agreement between Canada and the United States that is pending final document preparation.

The announcement came just hours before levies affecting Canadian goods—from plywood and cement to wine and hockey sticks—were set to be implemented. A White House proclamation stated administration officials recommended the pause because Canadian negotiators expressed a commitment to address discriminations the Trump administration cited as the reason for threatening the tariffs last month.

Canada's negotiating team, led by Trade Minister Dominic LeBlanc and chief negotiator Janice Charette, had been in Washington in recent days working to reach a deal. Prime Minister Mark Carney did not immediately comment on the announcement.

The three-day pause buys time for final negotiations and brings temporary relief to businesses and companies on both sides of the border who warned the tariffs would devastate small businesses, disrupt supply chains, and drive up costs for Canadian families. In his social media post, Trump referenced the Keystone XL Pipeline, which President Joe Biden cancelled early in his term, saying it "may be awoken from the grave." The full text of the trade agreement and which specific Canadian goods and sectors are covered by both the pause and the underlying deal have not been disclosed.