In brief
In a bid to revive trade discussions between Canada and the U.S., Prime Minister Mark Carney will hold talks with President Donald Trump. This meeting follows delays in negotiations and aims to focus on trade security amidst Trump's threats of increased tariffs. Carney is under pressure to strike a deal that benefits Canadian industries before the upcoming review of the USMCA.
Canadian Prime Minister Mark Carney is heading to Washington for his second visit this year - this time with the more modest goal of getting trade talks back on track. Negotiations have dragged on over the summer, blowing past an August deadline set by the two leaders. But few details have been released about the discussions or the issues preventing a deal.Canada is the only G7 country yet to reach a trade deal with Trump this year - though unlike other allies, Ottawa is not in a rush given carve-outs under the US-Canada-Mexico Free Trade Agreement.But Tuesday's tête-à-tête comes as Trump has renewed talk of making Canada a U.S. state, while Carney's main opposition figure has said anything short of reaching a trade deal on this trip would be considered a failure. Canada-US Trade Minister Dominic LeBlanc said last week that progress is being made toward an agreement, and media reports suggest there may be some relief from the punishing U.S. steel tariffs to come. Insiders, however, have hinted at frustration over a lack of clarity from the White House on what a trade and security deal with Canada could look like.If you look at all the different things that Trump is engaged in, is this right near the top? Probably not, said Colin Robertson, a former Canadian diplomat. That's part of the reason why, I think, the prime minister is going down [to Washington], to say 'give us your attention.' Carney's office has billed Tuesday's meeting as a working visit focused on finding common ground on the economy and security, though no major breakthroughs are expected, White House officials told the BBC.At the White House, Trump commented that he expects Carney to inquire about tariffs. Carney is under pressure to secure a deal that would lower tariffs, especially for hard-hit sectors like steel and lumber. Furthermore, he has faced criticism for softening his stance in dealings with Trump, such as dropping retaliatory tariffs on the U.S. and withdrawing legal disputes over American duties on Canadian softwood lumber.The upcoming meeting is crucial as 75% of Canadian goods are sold to the U.S., and the imposition of tariffs could significantly impact Canada's economy. Politicians and analysts agree that Carney's ability to negotiate a satisfactory deal with Trump could shape Canada's economic landscape moving forward.
