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U.S. and Canada Hold Last-Minute Talks as 50% Tariffs Loom

A failure to reach a deal could impose steep costs on Canadian exporters and deepen political fallout at home.

Overview

  • Negotiators led by Canadian minister Dominic LeBlanc and U.S. trade representative Jamieson Greer continued intensive talks in Washington with no final agreement reported and work planned up to the deadline.
  • The U.S. has scheduled 50% surtaxes to take effect on a list of Canadian goods unless a deal is signed or another delay is granted.
  • Multiple media reports say Washington may offer reduced tariffs specifically for Canadian steel and aluminum as part of a potential compromise.
  • The United States is pressing Ottawa to end provincial boycotts of U.S. wines and spirits and to open greater access for U.S. dairy, but province-level liquor control authorities remain divided.
  • The stakes are high because about 70% of Canadian exports go to the U.S., key sectors such as autos, steel and aluminum face immediate harm, and any deal risks sparking domestic political backlash.