Donald Trump announced a framework deal between the United States and the EU regarding tariffs. According to the framework deal, the EU will face 15% tariffs on all goods coming to the United States. In addition, the 50% tariff rate on steel and aluminum remains. As part of the deal the EU will invest in over $600 billion in the US. The EU will also purchase around the same amount for energy from the US

For now, this is a framework deal only. Each of the individual 27 EU countries have to sign off on it.

Regardless, this put pressure on Mark Carney. Trump has threatened a 35% tariff rate on all goods coming in from Canada outside of the USMCA agreement. He is also threatening to keep the 50% rate on aluminum and steel. The EU deal does not help Mark in any way. It puts pressure on him to accept an agreement that is favourable to Trump and the US. Mark Carney has insisted that he will not accept a bad deal. Part of the reason Mark Carney won the election was because it was believed that he would get a good deal with Trump. Let’s see what happens now.

That is all I have for today.