Canada and the US have agreed to restore duty-free trade for most goods. This was reported by CBC News, informs UNN.
Details
According to Canadian Prime Minister Mark Carney, 85% of trade between the countries will not be subject to duties. Thus, Washington confirmed the non-application of duties to Canadian goods stipulated in the free trade agreement. A 35% rate applies to the remaining goods.
As a result of this US decision, the real customs rate on Canadian goods is 5.6% compared to an average rate of 16% for the rest of the world. This is the lowest rate among all US trading partners. Canada now has the best trade terms with the US. They are not what they used to be, but still better than any other country
In turn, the White House stated that it welcomes this step, calling it "long overdue," and "looks forward to continuing negotiations with Canada on trade and national security issues."
Recall
As of August 1, new US customs tariffs came into effect. President Donald Trump maintained a basic tariff rate of 10% for countries with a positive trade balance. At the same time, for 40 countries with a trade deficit, the US set a minimum tariff of 15%, and for Canada, the duty increased to 35%.