Reuters is reporting U.S President Donald Trump on Thursday exempted goods from both Canada and Mexico under a North American trade pact for a month from the 25% tariffs that he had imposed earlier this week, the latest twist in this fast-shifting trade war.
The exemption, which will expire on April 2, covers both of the two largest U.S. trading partners.
Reports indicate Prime Minister Justin Trudeau and the American president had a “heated” phone call yesterday, and Trump offered to drop some tariffs if Canada backed off its countermeasures.
However, Trump says he’s still going ahead with previously announced 25% levies on steel and aluminum imports next week. Canada is the leading exporter of both metals to the U.S. Trump also says there will be no exemptions for the Canadian and Mexican auto sectors.
Trudeau says there’s no indication that the U.S. President will drop his tariffs entirely, and that the trade dispute will continue “for the foreseeable future.”
(With files from CBC News)
