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.

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.

The delay of tariffs set to take effect Friday came after a phone call between President Trump and his Mexican counterpart, President Claudia Sheinbaum.