What comes next in Canada-US trade negotiations after Carney backed down?

Carney rescinded the Digital Services Tax targeting American tech companies after President Trump announced that all trade discussions between the US and Canada would be halted until the tax is removed.

On Monday's episode of The Ezra Levant Show, Dr. Sylvain Charlebois, known on social media as the Food Professor, discussed what comes next after Mark Carney rescinded the Digital Services Tax targeting American tech companies.

The move to remove the tax on Sunday evening came after President Trump declared that all trade negotiations with Canada would be put on hold until the tax is rescinded.

"One has to recognize how the timing of rescinding the DST was certainly not ideal. It made Canada probably weaker and not stronger unfortunately," said Dr. Charlebois.

"Basically we needed America to liberate Canadians when it comes to communications and dealing with some of these platforms," he added.

Dr. Charlebois also noted that he sees a parallel between what happened over the weekend in trade discussions and the agri-food sector. "We've been talking for many years now about supply management, which is essentially a system that restricts production as much as possible," he said.

"We have quotas, if you want to produce milk, poultry or eggs commercially in Canada you need to own very expensive quotas. It's a very restrictive market, and we have high tariffs on imports. So basically, we produce what we need.  Supply management comes from the Keynesian school of thought, which is very Marxist to a certain extent," Dr. Charlebois explained.

"I do believe that in Canada we don't have one single politician willing to do anything with supply management. But there's probably one person who has the willingness and power to change anything when it comes to supply management. That would be a non-Canadian, and that would be Donald Trump," he said.

Prime Minister Carney announced on Monday that Canada and the US have recommenced trade discussions after the Digital Services Tax was rescinded.

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COMMENTS

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  • Bruce Atchison
    commented 2025-07-02 22:21:57 -0400
    Marx Carney will do all he can to make Canada a socialist basket case. I hope Trump forces him to disband the Quebec dairy cartel.
  • Bernhard Jatzeck
    commented 2025-07-02 22:01:43 -0400
    So much for Carney’s “Mr. Tough Guy” talk from the election.