Canada and the United States are finalising a highly anticipated trade deal, with both sides claiming it will remove many tariff 'irritants'.
President Donald Trump said the agreement will support US farmers and manufacturers. Prime Minister Mark Carney announced it would secure Canada’s best terms in key strategic sectors and bring certainty to the trade relationship.
Negotiations have moved in quick succession, with US trade representative Jamieson Greer and Canadian trade minister Dominic LeBlanc meeting three times in three days. The Trump administration had threatened a new wave of 50% tariffs on Canadian goods, which are now paused, while Canadians were seeking reductions on US steel, aluminium, automobiles and lumber tariffs.
Details of the concessions remain unclear. Trump confirmed Canada would drop tariffs on US farmers, but did not name specific agricultural sectors. He also said the United States would reduce, by “a little bit”, some tariffs it had placed on Canada.
Carney praised the progress and his cabinet will be briefed on the terms. LeBlanc’s team has been in Washington for over a week working to secure a deal before the proposed tariffs were last postponed.
Key US requests include removing Canada’s remaining retaliatory tariffs on automakers, easing dairy quotas for US cheese producers, and eliminating a ban on US alcohol sales imposed by Canadian provinces in retaliation to tariffs.
Canadian dairy program will stay "entirely intact" according to LeBlanc, but businesses say the deal could bring Canada closer to the tariff‑free USMCA framework.
Business leaders are optimistic; D.B. Darby of Canadian Manufacturers and Exporters said the committee was informed the negotiations continue and that they are close to a finalised deal.
Meanwhile, polls show many Canadians oppose significant concessions to the US, with 56% wanting a hardline approach.
