With the upcoming tariff deadline set by U.S. President Donald Trump drawing near, Canada and the U.S. have not yet found common ground on a potential tariff agreement. Two sources familiar with the trade discussions have indicated that Canadian officials are dissatisfied with the latest proposal put forth by the U.S.
Recent reports from sources on both sides reveal that the U.S. presented a new offer on Tuesday that aimed to reduce certain sectoral tariffs, though not to the extent desired by the Canadian negotiators. The identities of the sources have been kept confidential as they were not authorized to disclose information publicly.
Efforts have been ongoing in the past few weeks as negotiators from both countries strive to finalize a deal before the looming deadline on August 19 when Trump plans to implement a 50 percent tariff on numerous Canadian goods, in addition to the existing sectoral tariffs.
The U.S. is pushing for an agreement that would grant them privileged access to critical minerals in Canada, encompassing security and energy aspects, as per the sources.
Canada’s Trade Minister, Dominic LeBlanc, has been engaging in discussions in Washington, meeting with U.S. Trade Representative Jamieson Greer three times within a short span. Earlier reports stated their intention to present Trump with a potential trade deal by Monday.
Insiders revealed that Canadian representatives have strongly emphasized to their American counterparts that if the August 19 tariffs are imposed, there would be little support from Canadians to continue the negotiations.
Both sides have committed to daily meetings at various levels leading up to the deadline, the sources added.
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 percent levy.
Following their meeting with Greer, neither LeBlanc nor Canada’s chief trade negotiator, Janice Charette, responded to reporters’ inquiries on Tuesday.
LeBlanc later mentioned that talks are ongoing and affirmed their commitment to negotiation efforts with Charette.
According to LeBlanc’s office, both LeBlanc and Charette are currently in Washington as of Wednesday night.
In addition to averting potential new tariffs, LeBlanc and Charette are also seeking relief from the existing tariffs imposed by the U.S. on Canadian steel, aluminum, lumber, and automotive products.
Canada is hopeful that the ongoing trade discussions with the U.S. will lead to the renewal of the Canada-U.S.-Mexico Agreement (CUSMA) after the Trump administration declined to extend the deal beyond 2036 last month.