White House says Canada ‘caved’ to Trump over digital services tax

The White House said Canada and Prime Minister Mark Carney “caved” to President Donald Trump by hastily rescinding the country’s digital services tax. Trump had threatened to cut off all trade talks with Ottawa in retaliation for the tax. The White House said it will likely ask more countries to drop their DSTs as part of ongoing trade talks with the Trump administration.

The White House claimed Monday that Canada “caved” to President Donald Trump by hastily rescinding its digital services tax after the president threatened to shut down trade negotiations between the two major trading partners.

“It’s very simple: Prime Minister [Mark] Carney and Canada caved to President Trump and the United States of America,” press secretary Karoline Leavitt told reporters at a briefing.

“It was a mistake for Canada to

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