Prime Minister Mark Carney emphasized the critical and intense nature of last-minute negotiations with the U.S. to prevent a fresh round of tariffs scheduled for this week. Carney plans to engage in discussions with his American counterpart within the next 48 hours to reach a mutually beneficial agreement. Addressing reporters in St. John’s on Monday, Carney refrained from disclosing details of the ongoing talks to avoid President Donald Trump’s proposed Section 338 tariffs on Canadian goods.
“We are currently engaged in delicate and intensive negotiations; this is not the appropriate time for public discussions,” Carney stated in French, underscoring Canada’s negotiation position strength.
When asked about potential retaliatory actions if an agreement is not reached, Carney affirmed readiness for any scenario. A phone conversation between Trump and Carney occurred on Monday concerning trade negotiations, as confirmed by Audrey Champoux, a spokesperson for the prime minister.
Canada’s Trade Minister Dominic LeBlanc and chief negotiator Janice Charette have been actively engaging with U.S. Trade Representative Jamieson Greer to avoid the impending Section 338 tariffs and reduce existing tariffs on industrial products like steel, aluminum, autos, and lumber. Following a lengthy meeting on Monday with Greer and U.S. Commerce Secretary Howard Lutnick, it remains uncertain whether this was the final ministerial-level meeting.
Despite expectations of concluding discussions, sources suggest the possibility of further meetings with Greer before Carney and Trump’s impending dialogue. Notably, Canadian officials may meet with Greer again before the tariff deadline on Wednesday, with no confirmed schedule for an additional meeting.
The negotiation focus revolves around Canada’s requests for tariff relief on sectors affected by existing U.S. levies and the removal of the threatened Section 338 tariffs. Conversely, the U.S. aims to reintroduce American liquor in Canadian stores and address Canadian tariffs on U.S. autos and dairy quotas.
Greer has emphasized the U.S. stance against entirely eliminating its tariff structure. Erin O’Toole, a member of Carney’s Canada-U.S. advisory committee, acknowledged progress in negotiations with the U.S., emphasizing the necessity of fair deals for Canadian workers and the economy. O’Toole highlighted the potential repercussions of Trump’s proposed tariffs on Canada and the importance of avoiding escalating trade conflicts for the benefit of both economies and workers.