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US President Donald Trump has issued a stern warning to Canada after its decision to back Palestinian statehood, suggesting that the move could derail any prospects of a trade agreement between the neighbouring countries.
“Wow! Canada has just announced that it is backing statehood for Palestine. That will make it very hard for us to make a Trade Deal with them. Oh’ Canada!!!” Trump posted on his Truth Social platform.
Trump’s remarks follow Canada’s announcement that it will formally recognise Palestine as a state at the United Nations General Assembly in September. Prime Minister Mark Carney confirmed the decision on Wednesday, aligning Canada with the United Kingdom and France in a symbolic but significant diplomatic gesture.
“There is no room for delay,” Carney said in an official statement, stressing the urgent need for coordinated international efforts to support peace and the dignity of human life amid the ongoing war in Gaza. He reaffirmed Canada’s commitment to a two-state solution as the only viable path to lasting peace between Israelis and Palestinians.
The move marks a turning point in Canada’s foreign policy and comes at a time of increasingly strained relations with the United States. Trump, who has long been critical of Canadian leadership—including both former Prime Minister Justin Trudeau and current PM Carney—has previously floated the idea of Canada joining the United States.
Under Trump’s current trade policies, Canada faces a looming threat of 35 percent tariffs on its exports to the US unless a new agreement is reached. Trump has refused to extend the deadline for tariff enforcement, which has already prompted several other nations to strike last-minute deals with Washington.
Canada’s recognition of Palestine is likely to deepen tensions among G7 countries, especially with the US maintaining its staunch support for Israel despite its bombardment of Gaza. The move also places added pressure on other Western powers to clarify their positions on the war and the broader Middle East peace process.
