White House says Carney "caved" to pressure from Trump | Hook News Brief

Hook News Brief | 01.07.25

Carney "caved" to pressure from Trump: White House

In a big win for US President Donald Trump, the White House has said Canadian Prime Minister Mark Carney "caved" to pressure from Trump in rescinding a tax on big US tech firms.

Speaking to reporters, Karoline Leavitt, White House Press Secretary said that every country needs to have good trade relationships with the US and that it was “a mistake for Canada” to try and implement the digital tax.

Canada's digital services tax (DST) would have meant US tech giants including Amazon, Meta, Google and Apple faced a 3% charge on Canadian revenue above $20 million.

In response to the tax, which he called a "blatant attack", Trump on Friday called off trade deal negotiations and threatened to raise tariffs. Canada then said it would halt collection of payments, which were due on Monday, and introduce legislation to scrap the tax.

Trump ends Syrian sanctions with executive order

Staying with the US, Trump signed an executive order to dismantle a web of sanctions against Syria.

The move will likely unlock investments in the country more than six months after the overthrow of President Bashar al-Assad.

The US Treasury in a statement said that Trump’s decree on Monday offers sanction relief to “entities critical to Syria’s development, the operation of its government, and the rebuilding of the country’s social fabric”.

US approves $510 million arms sale to Israel

In other news, the US Department of State has approved a $510 million arms sale to Israel, with the deal including more than 7,000 bomb guidance kits.

Following which the Defense Security Cooperation Agency has provided the required notification to the US Congress, which still needs to sign off on the transaction.

This even as Israeli forces bombed a cafe, a school and food distribution sites in the Gaza Strip, killing at least 95 Palestinians, and attacked a hospital, wounding several more people.

At least 62 of the victims of Monday’s attacks were in Gaza City and the north of the territory.

The figure includes 39 people who were killed in an Israeli strike on a popular seaside cafe frequently used by activists, journalists, and local residents. Dozens more were wounded.

The bombardment follows one of the largest evacuation orders issued since the war resumed in March.

Notably, Israeli PM Benjamin Netanyahu is expected to meet Trump at the White House next Monday as the US appears to push for a ceasefire between Israel and Hamas.

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