With the looming deadline for U.S. President Donald Trump’s latest tariff decision, Canada and the U.S. have yet to find common ground for a tariff agreement, as per informed sources familiar with the trade discussions. The sources revealed that the recent proposal put forth by the U.S. on Tuesday aimed to reduce certain sectoral tariffs but fell short of meeting Canada’s expectations.
Both American and Canadian sources disclosed that negotiations have been ongoing in an attempt to secure a deal before Aug. 19, the date when Trump plans to impose a 50% tariff on numerous Canadian goods in addition to the existing sectoral tariffs.
The U.S. is pushing for a deal that would grant them preferential access to Canadian critical minerals, encompassing security and energy aspects, as outlined by the sources.
Canadian Trade Minister Dominic LeBlanc has been actively engaged in discussions in Washington, holding multiple meetings with U.S. Trade Representative Jamieson Greer. Their objective, as reported earlier, is to present Trump with a potential trade deal solution at the earliest.
Sources indicated that the Canadian delegation has strongly emphasized to the U.S. counterparts that if the Aug. 19 tariffs are enforced, there would be limited support among Canadians to continue negotiations.
It was agreed by both parties to convene daily meetings at various levels leading up to the impending deadline.
CBC News has learned Canada-U.S. Trade Minister Dominic LeBlanc and U.S. Trade Representative Jamieson Greer are working on a proposal to pitch to U.S. President Donald Trump before a tariff deadline that could see hundreds of Canadian goods hit with a 50 per cent levy.
Following their meeting with Greer, neither LeBlanc nor Canada’s chief trade negotiator, Janice Charette, made any statements to the press. LeBlanc later mentioned that discussions are ongoing and affirmed their commitment to negotiations.
As of Wednesday night, LeBlanc and Charette were reported to still be in Washington. Apart from opposing new tariffs, they are also seeking relief from the existing U.S. tariffs on Canadian steel, aluminum, lumber, and automobiles.
Furthermore, Canada is hopeful that the ongoing trade discussions will lead to the renewal of the Canada-U.S.-Mexico Agreement (CUSMA) following the Trump administration’s decision not to extend the deal beyond 2036.
