Canada’s Trade Minister, Dominic LeBlanc, and his American counterpart are actively working on presenting a potential trade deal to U.S. President Donald Trump, with a targeted goal of revealing the proposal by Monday. Sources familiar with the situation suggest that the intention is to provide Trump with ample time to make a decision before the looming tariff deadline that would impose new 50 per cent levies on numerous Canadian imports starting on August 19.
LeBlanc recently engaged in discussions with U.S. Trade Representative Jamieson Greer in Washington, marking their third in-person meeting within three weeks. Following their meeting, both LeBlanc and Canada’s chief trade negotiator, Janice Charette, refrained from addressing reporters’ inquiries. The discussions lasted approximately an hour, with LeBlanc subsequently sharing on X that talks are ongoing and that he and Charette will continue negotiations at the table.
In addition to averting potential new tariffs, LeBlanc and Charette are advocating for relief from the sectoral tariffs imposed by the U.S. on Canadian steel, aluminum, lumber, and automotive products. Amidst these efforts, Canada is also hopeful for an extension of the Canada-U.S.-Mexico Agreement (CUSMA) following the Trump administration’s decision not to renew the deal back in July.
The U.S. administration, while announcing the impending tariffs on August 19, highlighted several trade concerns, including Canada’s response to U.S. trade policies such as the removal of U.S. alcohol from provincial stores and alleged discriminatory practices against U.S. motor vehicles and dairy products. Notably, these measures have led to a decline in U.S. alcohol exports to Canada, amounting to $360 million US in wine exports and $150 million US in spirit exports, based on U.S. Census Bureau data.
The upcoming tariffs will impact approximately five percent of Canadian exports to the U.S., encompassing a range of goods from alcohol to hockey equipment and cement. Meanwhile, Conservative MP Michelle Rempel Garner emphasized the importance of Canada negotiating from a position of strength with the White House and called for accountability from Prime Minister Mark Carney, urging him to deliver on his promises to Canadians. Her sentiments echo those of Conservative Leader Pierre Poilievre, who recently urged Carney to exhibit resilience in trade negotiations and secure a favorable deal for Canadians, including zero tariffs on softwood lumber, the removal of sectoral tariffs on steel and aluminum, a tariff-free auto agreement, and full exemption from Buy America regulations across government infrastructure projects.