Trade negotiators from Canada and the United States reconvened in Washington on Thursday for a second consecutive day of discussions aimed at finalizing a bilateral trade agreement before a newly postponed tariff deadline.
Canada’s trade minister Dominic LeBlanc and U.S. Trade Representative Jamieson Greer held talks on Wednesday, reporting substantial progress toward resolving a dispute that has seen both sides impose retaliatory tariffs over the past year. The negotiations focused on reducing tariffs on Canadian-built vehicles, steel and aluminum, with Washington proposing to cut the top-line tariff on vehicles to 15% from 25% and halve tariffs on steel and aluminum to 25%.
U.S. Secretary of State Marco Rubio was scheduled to meet Canada’s Foreign Minister Anita Anand at the White House on Thursday as part of the ongoing diplomatic push. Meanwhile, President Donald Trump indicated on Wednesday that Washington would make concessions, suggesting the agreement would also include the removal of Canadian tariffs on U.S. goods.
The potential deal comes after Trump postponed a 50% tariff on approximately $20 billion worth of Canadian goods until 12:01 a.m. EDT on Saturday, citing progress in the negotiations. The tariff, originally set to take effect earlier this week, was suspended subject to the finalization of documentation.
Prime Minister Mark Carney briefed Canada’s provincial premiers following Wednesday’s meeting, urging them to lift a ban on U.S. alcohol imports—a longstanding point of contention for Washington—if the trade deal is secured. The dispute originated last year when the U.S. imposed tariffs on Canadian steel, aluminum and vehicles, prompting Ottawa to retaliate with countermeasures.
