Ottawa said Prime Minister Mark Carney and President Donald Trump had agreed to resume negotiations on a trade agreement and would aim to reach a deal by July 21.

But it wasn't just Trump pushing Carney to reconsider the tax. A nonprofit representing CEOs and leaders of some of Canada's biggest businesses, the Business Council of Canada, had warned that Carney defending the tax risked "undermining Canada’s economic relationship with its most important trading partner," Al Jazeera reported.

Canada has walked back on its digital services tax “in anticipation” of a mutually beneficial comprehensive trade arrangement with the United States, Ottawa announced Sunday night, just one day before