U.S. and Canadian negotiators say a final trade deal is close as President Trump's tariff deadline approaches, though experts caution that even a breakthrough is unlikely to remove all U.S. tariffs on Canadian goods.
Key facts
- U.S. and Canada say a final trade deal is near as Trump's tariff deadline looms.
- Trump had already postponed 50% tariffs on a range of Canadian goods to allow both sides to finalize a tentative deal.
- Businesses warn the new 50% duties could cripple their U.S. sales if they take effect.
- Experts say a last-minute deal will not result in the U.S. lifting all tariffs on Canadian goods.
- Manitoba Premier Wab Kinew said Canada 'should fight,' signaling domestic pushback on any deal.
Negotiators from the United States and Canada are racing to finalize a trade agreement before President Donald Trump’s tariff deadline, with both sides indicating that a final deal is near, according to CNBC and Al Jazeera.
Trump had already postponed 50% tariffs on a range of Canadian goods so that Washington and Ottawa could finalize a tentative deal, CNBC reported. Trump said the two countries ‘should be able’ to reach an agreement as the deadline approached.
Canada said it was working to resolve ‘trade issues’ with the United States, according to CNBC. The negotiations come amid warnings from businesses that Trump’s new 50% duties could cripple their U.S. sales if the tariffs take effect.
Despite the optimism, experts cited by Al Jazeera cautioned that even a last-minute breakthrough would not result in the United States lifting all of its tariffs on Canadian goods.
The talks also face domestic political challenges in Canada. Manitoba Premier Wab Kinew said Canada ‘should fight,’ the BBC reported, comments that signal a tough battle for Prime Minister Mark Carney to win support from Canadians on a possible deal with the U.S.
With the deadline looming, the outcome remained uncertain as negotiators worked to close the remaining gaps between the two sides.
Why it matters
Tariffs of 50% on Canadian goods could significantly disrupt cross-border trade and hurt businesses that rely on U.S. sales. The negotiations affect one of the world's largest trading relationships and carry political stakes for leaders on both sides of the border.
Frequently asked questions
What tariffs is Trump threatening on Canadian goods?
Trump has threatened new 50% duties on a range of Canadian goods. According to CNBC, he had already postponed these tariffs to give both countries time to finalize a tentative deal.
Will a deal remove all U.S. tariffs on Canada?
No. Experts cited by Al Jazeera say that even a last-minute breakthrough will not result in the U.S. lifting all of its tariffs on Canadian goods.
How are Canadian officials responding?
Canada said it was working to resolve 'trade issues' with the U.S., per CNBC. Manitoba Premier Wab Kinew said Canada 'should fight,' according to the BBC, signaling domestic pushback.