Trump has justified tariffs on goods from Canada, the top U.S. export market, by accusing it of failing to stop the cross-border flow of fentanyl, even though U.S. government data shows Canada accounts for only 1% of the fentanyl that enters the United States.

President Donald Trump says Canada’s announcement it'll recognize a Palestinian state “will make it very hard” for the U.S. to reach a trade agreement with it.

The Treasury secretary’s remarks Thursday signal possible relief for Canada’s aluminum sector, which—along with steel makers—faces a 50% tariff on products entering the U.S. Canada is the U.S.’s biggest foreign supplier of both metals, and the deals President Trump has made to date have maintained the 50% duty of steel and aluminum.