Canada's labor market stumbled in July with a loss of 40,000 jobs, driven by U.S. tariffs under Trump that continue to hit the country’s manufacturing sector.

The Canadian economy lost tens of thousands of jobs in July, sending the share of people employed to an eight-month low, data showed on Friday, as the labor market gave back the gains seen in the prior month.

Trade negotiations are coming down to the wire with U.S. tariffs set to kick in at midnight for countries around the world.