President Donald Trump has said that Canada’s support for a Palestinian state will make any trade deal between Washington and Ottawa “very hard.”
In a post on Truth Social, Trump referred to comments made by Canadian Prime Minister Mark Carney that Canada was planning to recognize a Palestinian state at the United Nations in September.
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!!!”
Newsweek has contacted Global Affairs Canada for comment.

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Why It Matters
Trump’s statement shows the U.S. president weighing into the debate about the future of Gaza hours before an August 1 deadline for a trade deal with Canada. He had previously said that if no such deal was reached by August 1, he would impose 35 percent tariffs on America’s northern neighbor.
In February, he prompted international outrage by seemingly suggesting the displacement of Gaza’s Palestinian population as part of a plan to turn the enclave into a “riviera of the Middle East”.
Israel has been waging a war with Hamas in Gaza since the Islamist group carried out an attack on Israeli soil on October 7, 2023, killing about 1,200 people and taking 251 hostages. In the nearly two years since, Israel’s invasion and a blockade of the enclave has, according to Palestinian health officials, resulted in the deaths of tens of thousands of people, many of whom were children, as well as a deepening food crisis.
Carney said his decision to recognise a Palestinian state was prompted by the “catastrophe” in Gaza. It follows similar moves from the United Kingdom and France.
What To Know
Last week, French President Emmanuel Macron announced that France would recognize a Palestinian state, becoming the first G7 nation to do so.
Carney, who said he had spoken with Mahmoud Abbas, the president of the Palestinian Authority, earlier on Wednesday, said Canada could follow France’s lead on certain conditions. These include the Palestinian Authority reforming its governance and holding elections in 2026 in which Hamas plays no part.
UK Prime Minister Keir Starmer said this week his country would recognize Palestinian statehood “unless the Israeli government takes substantive steps to end the appalling situation in Gaza, agree to a ceasefire and commit to a long-term, sustainable peace, reviving the prospect of a two-state solution.”
Starmer also called on Hamas to “sign up to a ceasefire, disarm and accept that they will play no part in the government of Gaza.”
Ireland, Spain and Norway officially recognized a Palestinian state last year.
Canada has said it would only recognize a Palestinian state at the conclusion of peace talks with Israel but Carney said the reality on the ground, including Israel’s allowing starvation to unfold in the enclave, meant “the prospect of a Palestinian state is literally receding before our eyes.”
The latest update from the international body that monitors famine, the UN-backed Integrated Food Security Phase Classification (IPC), said there was mounting evidence of widespread starvation, malnutrition and disease in Gaza. Mercy Corps CEO Tjada D’Oyen McKenna said the unfolding food crisis was “a direct result of political barriers that are preventing food and other aid from reaching people in need.”
“Airdrops and humanitarian pauses are insufficient, and they won’t prevent mass starvation or help bring malnourished children back from the brink of death,” McKenna said in a statement shared with Newsweek.
Israel, which attempted with the US to take control over food supply in Gaza from a UN-led distribution system two months ago, has denied engaging in an intentional campaign of withholding food for more than 2 million Palestinians. It has blamed Hamas and the UN for the crisis, and said it was facilitating more aid.
Israel’s foreign ministry responded to the Canadian announcement by saying it would reward Hamas as well as harm the efforts to achieve a ceasefire in Gaza and a framework for the release of dozens of remaining hostages.
While Trump said this week that there was “real starvation” in Gaza and urged Israel to let in “every ounce of food”, he also believes he would be “rewarding Hamas” if he recognized a Palestinian state and therefore does not plan to do so, a White House official told Reuters.
What People Are Saying
President Donald Trump wrote on Truth Social in the early hours of Thursday: “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!!!”
Canadian Prime Minister Mark Carney said late on Wednesday: “Canada intends to recognize the State of Palestine at the 80th Session of the United Nations General Assembly in September 2025.”
Israel’s foreign ministry said: “The change in the position of the Canadian government at this time is a reward for Hamas and harms the efforts to achieve a ceasefire in Gaza and a framework for the release of the hostages.”
What Happens Next
Trump’s next move when the deadline for a trade deal between the U.S. and Canada expires Friday will be closely watched. Meanwhile, as the Gaza health ministry reports more hunger-related deaths, U.S. special envoy Steve Witkoff will meet Israeli officials Thursday to discuss the crisis.
Update 07/31/25, 06:22 a.m. ET: This article has been updated with further information.