Canada’s Trade Minister Dominic LeBlanc and his U.S. counterpart are working on presenting a potential trade deal to U.S. President Donald Trump by Monday, according to sources briefed on the matter. The goal is to deliver the joint proposal to Trump before the looming tariff deadline to allow for a final decision before new 50% levies on hundreds of Canadian imports take effect on August 19. The sources, who spoke on condition of anonymity, revealed the plan.
LeBlanc recently held a meeting with U.S. Trade Representative Jamieson Greer in Washington, marking their third in-person meeting in as many weeks. After the hour-long meeting, neither LeBlanc nor Canada’s chief trade negotiator, Janice Charette, addressed reporters’ questions. LeBlanc later confirmed ongoing discussions and reiterated their commitment to the negotiation process.
The efforts are geared towards preventing new tariffs on Canadian imports and seeking relief from existing sectoral tariffs on Canadian steel, aluminum, lumber, and autos imposed by the U.S. Additionally, Canada hopes for an extension of the Canada-U.S.-Mexico Agreement (CUSMA) following the Trump administration’s decision not to renew the deal in July.
The U.S. had cited various trade issues, including Canada’s response to U.S. trade policies and alleged discrimination against U.S. motor vehicles and dairy products when announcing the impending tariffs. The targeted goods, including alcohol, hockey sticks, and cement, represent about five percent of Canadian exports to the U.S.
Conservative politicians in Canada, including MP Michelle Rempel Garner and Conservative Leader Pierre Poilievre, have emphasized the importance of securing a favorable trade agreement with the U.S. Rempel Garner called on Prime Minister Mark Carney to deliver on his promises to Canadians and ensure Canada’s strong position in negotiations. Poilievre urged Carney to advocate for zero tariffs on softwood lumber, an end to sectoral tariffs on steel and aluminum, a tariff-free auto pact, and exemptions from Buy America rules on infrastructure projects.
The push for a trade deal comes amid escalating trade tensions between the two countries, with both sides seeking a mutually beneficial agreement.
