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Trump warns Canada’s Palestinian state bid could derail trade talks

The White House said that pushing for statehood rewards the Hamas terrorist group in Gaza.

U.S. President Donald Trump speaks during a meeting with European Commission President Ursula von der Leyen at the Trump Turnberry golf club in Scotland, July 27, 2025. Photo by Andrew Harnik/Getty Images.
U.S. President Donald Trump speaks during a meeting with European Commission President Ursula von der Leyen at the Trump Turnberry golf club in Scotland, July 27, 2025. Photo by Andrew Harnik/Getty Images.

U.S. President Donald Trump said on Thursday that Canada’s announcement a day earlier that it plans to recognize a Palestinian state complicates trade talks between the neighboring nations.

Ottawa announced that the recognition will take place during the U.N. General Assembly annual debate in September, contingent on reforms by the Palestinian Authority. The move follows similar recent announcements by France and the United Kingdom.

In a post on Truth Social on Thursday, Trump wrote: “Wow! Canada has just announced that it is backing statehood for Palestine. That will make it very hard for us to make a Trade Deal with them. Oh’ Canada!!!”

A White House official, speaking on Trump’s behalf, clarified the administration’s position to Reuters on Wednesday: “As the president stated, he would be rewarding Hamas if he recognizes a Palestinian state, and he doesn’t think they should be rewarded. So he is not going to do that. President Trump’s focus is on getting people fed [in Gaza].”

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