Carney claims progress on $20 billion trade deal days before U.S. midterms
The Canadian Prime Minister says negotiators will work in the coming weeks to resolve the dispute that triggered 50 percent tariffs on Canadian goods.
By Lucas Navarro ·
Prime Minister Mark Carney stated on Sunday that he held a constructive conversation with President Donald Trump regarding a potential trade agreement. Carney indicated that the two nations will continue working toward a deal in the coming weeks, a development that arrives just days before the U.S. midterm elections.
The Prime Minister described the discussion as building on recent outlines for an agreement intended to create jobs and lower costs for families. He also noted that the proposed deal aims to protect Canada’s languages, culture, and sovereignty. Carney wrote on social media that his teams will now work to deliver that specific outcome.
This optimistic assessment contrasts with the situation in August, when Canada walked away from negotiations. At that time, the Canadian government rejected U.S. demands that Carney said threatened the country's sovereignty and auto industry. In response, Trump imposed 50 percent tariffs on roughly $20 billion in Canadian goods, leading to retaliatory measures from Ottawa.
Negotiations have resumed since then, though progress has remained uneven. Last week, Carney said talks had intensified slightly and asserted that Washington was moving closer to Canada's position. As recently as Wednesday, however, Carney stated that the countries were not yet in a position to reach an agreement before Tuesday's vote.
The two sides are discussing potential relief from U.S. tariffs on Canadian steel and automobiles, although no specific details of an agreement have been announced. The trade dispute has become a focal point for the Nov. 3 elections, particularly in Michigan and Maine. Republican candidates in those states have faced pressure over tariffs hurting local businesses. Michigan Senate candidate Mike Rogers has called for an end to the tariff war.
The conflict and Trump's threats to make Canada the 51st state have prompted Carney to seek new markets. Canada and the European Union launched a new economic and security alliance on Friday. Carney is pursuing a goal of doubling Canadian exports outside the United States over the next decade.
