In a significant move to restart trade discussions with the United States, Canada has officially rescinded its digital services tax, a decision framed as a response to pressure from President Trump. The White House had criticized Canadian Prime Minister Mark Carney for what they described as a concession to Trump’s demands regarding the controversial tech tax. Following the withdrawal of this tax, U.S.-Canada trade talks are set to resume, raising questions about the effectiveness of Canada’s initial taxation plan and its implications for future trade relations. Analysts point out that this development highlights the ongoing tensions surrounding digital taxation and U.S. trade policy, particularly as Trump expressed he was ending all trade discussions over this very issue. The implications of Canada’s abrupt U-turn may extend beyond North America, potentially influencing international taxation frameworks.