Canada and the United States are not close to signing a trade deal to reduce current tariffs and avoid new American tariffs coming into place next week, according to a
The distance on a potential deal comes after a week of negotiations in Washington, labelled by multipleut” and reviewing individual tariffs on a line-by-line basis
Even then, the could be struck
Global News has agreed not to identify thehe trade talks
Any deal the Trump administration is willing to sign will have some form of tariffs on steel, aluminum, autos and lumber, according toat does not have a substantial reduction in American tariffs
If a deal is reached, tariffs on Canadian autos and parts compliant under the Canada-U.S.-Mexico Agreement (CUSMA) would remain in place, but it is expected that they would be reduced from the current 25 per cent level, according to a
Get daily National news
Get daily Canada news delivered to your inbox so you’ll never miss the day’s top stories.
By providing your email address, you have read and agree to Global News’ Terms and Conditions and Privacy Policy.
Auto industry insiders have told Global News that they would not support any tariff level on CUSMA-complaint parts and autos, saying it would represent a major threat to the Canadian industry
“We shouldn’t be offering any concessions to the United States right now. The reality is the U.S. has imposed tariffs on Canada,” Lana Payne, Unifor’s national president said Friday at a news conference in Brampton, Ont
4:39
Canada-U.S. trade war: Tariff deadline 1 week away, but have negotiations progressed?
The U.S. is seeking a change in current quota allotments for U.S. dairy that can be sold into Canada tariff free and for American alcohol to be put back onto all provincial liquor store shelves
The Dairy Farmers of Canada said in a statement Thursday that it is “imperative that no more concessions on dairy or supply management are made in talks with the United States.”
U.S. Trade Representative Jamieson Greer repeated Friday that new 50 per cent tariffs on some Canadian goods are in direct response to the retaliatory measures
Greer, speaking to reporters at the Iowa State Fair, likened the federal and provincial measures to “the kind of things that China would do.” He said those are things that would have to be resolved
While the Canadian government is willing to walk away from any deal, it is the preference of the Carney government to find an agreement now to avoid new tariffs coming into place on Aug. 19, according to multiple
That strategy is a part of a three-pronged plan, outlined to
The first step would be to cut a deal on sectorial tariffs and avoid new ones coming into place, followed by a second step where both countries sign partnerships in areas like energy and defence
Step three would be to renegotiate CUSMA in a more stable environment
The U.S. opted to not agree to a renewal of the free trade pact at its scheduled review last month, despite Canada and Mexico advocating for a new 16-year term
—With files from Global’s Sean Boynton and Uday Rana
