Canada Reduces Tariffs for the US and Strengthens Alliance with Germany
🇨🇦 Starting September 1, Canada will eliminate some retaliatory tariffs on American goods under NAFTA. The decision came as a result of a conversation between Premier Mark Carney and Donald Trump.
❗️However, tariffs on steel, aluminum, and automobiles will remain in place.
🇩🇪 At the same time, Ottawa is strengthening ties with Germany: next week, Carney and ministers will visit Berlin for negotiations on energy, critical minerals, and defense projects. Germany sees Canada as an alternative supplier to China and Russia, especially for rare earth metals and hydrogen.
📈 For the markets, this is a signal to reduce trade tensions. De-escalation with the US and new alliances in Europe reduce risks, boost investor confidence, and support growth in equities and commodity assets.