The U.S. president pulled the plug on monthslong negotiations over what he called an “egregious” digital-services tax on U.S. tech companies, plunging relations with America’s second-largest trading partner back into turmoil.

President Trump on Friday said he was cutting off trade talks with Canada and threatened to set a new tariff rate on the country's goods within the next week. Trump said the move was in response to Canada's move to implement a digital services tax on technology companies,