Good morning.

The federal government has rescinded the digital services tax in a bid to advance trade negotiations with the U.S. The first LNG shipment is destined for Asia, as Canada looks to diversify the countries it does business with. Plus, Wimbledon begins today. Let’s get into it.

The latest: The federal government has decided to rescind a digital services tax that led U.S. President Donald Trump to break off negotiations aimed at ending a damaging trade war between the United States and Canada.

The tax would have imposed a 3-per-cent levy on Canadian revenue from digital services exceeding $20-million that is earned by companies with at least $1.1-billion in global revenue. This includes revenue from search engines, social-media platforms and online marketplaces.

It was expected to take effect today and to bring in $2.3-billion in 2024-25 (including the 2022, 2023 and 2024 taxation years), according to the federal budget.

Catch up: At the G7 Summit earlier this month in Kananaskis, Alta., Prime Minister Mark Carney and Trump agreed to negotiate an economic and security deal within 30 days.

Then, on Friday, Trump went on Truth Social and said he was ending trade negotiations because of Canada’s digital services tax.

During a Fox interview on Sunday, Trump was asked about his plan to halt trade discussions. “Until such time as they drop certain taxes, yeah,” he answered. “People don’t realize, Canada is very nasty to deal with.”

The response: Late Sunday night, the federal government announced the talks would go forward after they scrapped the tax. “Prime Minister Carney and President Trump have agreed that parties will resume negotiations with a view towards agreeing on a deal by July 21, 2025,” the government said in a statement.

The latest: It’s a historic moment – but not one without contention. The first shipment of liquefied natural gas from northern British Columbia could set sail to Asia as early as today.

The GasLog Glasgow tanker will soon depart from the $18-billion terminal in Kitimat, B.C., which took seven years to build. It’s the country’s first export terminal for LNG shipments that can traverse the Pacific, just as Canada seeks to diversify its trade partners away from the U.S.

The controversy: Climate activists argue that the world needs to focus on using renewable energy sources, while the fossil fuel industry argues that LNG will play an important role in the transition to green energy.

Quick facts:

• The builder of the terminal, LNG Canada, is majority owned by London-based Shell, which has a 40-per-cent stake
• The other partners are Malaysia’s state-owned Petronas (25 per cent), PetroChina (15 per cent), Japan’s Mitsubishi Corp. (15 per cent) and South Korea’s Kogas (5 per cent)
• It takes roughly 10 days to sail a ship to North Asia from Kitimat, compared with the 20 days from the U.S. Gulf Coast through the Panama Canal
• LNG Canada is mulling a Phase 2 expansion, which would double the plant’s capacity to 28 million tonnes a year
• The total cost of building the project has been pegged at $48.3-billion, including the terminal and the $14.5-billion Coastal GasLink pipeline

The latest: The Globe is at the 2025 Wimbledon Championships, set to kick off today. Europe correspondent Paul Waldie caught up with Carson Branstine, an up-and-coming Canadian player who is set to play a first-round match against world No. 1 Aryna Sabalenka from Belarus.

Sports columnist Cathal Kelly is also there, and he’s keeping an eye out on whether the Wimbledon crowd will embrace Novak Djokovic.

Reporter Rachel Brady has