Canada-US Trade Talks Stall as Deadline Looms

Canadian Minister Dominic LeBlanc has expressed concerns that Canada and the U.S. are far apart on reaching a draft trade deal, despite regular meetings. The two countries have been in discussions to avoid new tariffs, with a looming deadline of August 19 for President Donald Trump's new 50% tariffs on nearly $20 billion of Canadian goods, or about 5.2% of Canada's exports to the U.S.

The new tariffs would apply to products that qualify for preferential treatment under the U.S.-Mexico-Canada Agreement, posing an added risk to Canada's economy. LeBlanc has stepped up his engagement with U.S. Trade Representative Jamieson Greer, meeting him four times in three weeks and will continue talks over the weekend.

LeBlanc told the Advisory Committee on Canada-U.S. Economic Relations that meetings are happening at a technical level constantly but have not yet reached agreement on key issues, including Canadian tariffs on U.S. autos, disagreements over dairy quotas, and refusal of some provinces to stock U.S. alcohol.