Trump Delays Global Tariffs as Canada Faces July 21 Trade Deal Deadline

U.S. President Donald Trump has delayed his global tariff deadline to August 1, offering countries more time to negotiate bilateral trade deals — but Canada’s July 21 deadline remains unchanged.

On Monday, the White House began issuing letters to international governments warning of high tariffs if deals aren’t finalized. However, White House Press Secretary Karoline Leavitt confirmed that Trump will sign an executive order delaying the implementation of those tariffs, originally scheduled for Wednesday, by another three weeks.

Though Canada is not directly targeted by the “Liberation Day” global tariffs, it continues to face pressure due to Trump’s demand for a new bilateral trade pact by July 21. According to the Prime Minister’s Office, Canada is still working toward that deadline.

International affairs expert Fen Osler Hampson from Carleton University commented that Canada might benefit by waiting to see the terms other countries accept.

“There’s probably a last-mover advantage,” Hampson explained.
“If you’re a competitor, you want a tariff lower than others to remain competitive.”

Trump launched his tariff campaign in April 2025, branding it a “reciprocal” policy, which included a universal 10% tariff still in place for most nations. However, since then, only framework deals with the UK and Vietnam have materialized.

As part of his latest pressure campaign, Trump posted letters to Japan and South Korea online and plans to release 12 more. These letters warn of steep tariffs if trade agreements aren’t finalized.

Although Canada escaped these global duties, it continues to suffer from targeted tariffs:

25% tariffs on fentanyl-related exports

10% levies on energy and potash (if exports don’t comply with the Canada-U.S.-Mexico Agreement)

Ongoing duties on steel, aluminum, and automobile exports

Negotiations between Prime Minister Mark Carney and Trump, which began in March, were momentarily stalled in June when Trump demanded Canada eliminate its digital services tax — which Canada did just before the collection date on June 30.

Observers believe the trade frameworks with the UK and Vietnam hint at Trump’s willingness to maintain baseline tariffs in most deals. For instance, the UK secured a 10% auto tariff cap for 100,000 vehicles.

Treasury Secretary Scott Bessent said that major trade deal announcements could come within 48 hours, stressing that Trump values “quality over quantity” in negotiations.

“As Trump began warning countries that they could revert to the harsher April 2 tariffs, a lot of negotiators shifted tone quickly,” Bessent added.

With Canada’s deadline fast approaching, the outcome of other trade deals this week may signal what terms Ottawa can expect.