Canada-US Trade Talks Show Limited Progress; Carney Says Deal Not Yet in Reach

OTTAWA — Talks between Canada and the United States to ease US tariffs on Canadian steel and autos have made limited progress, a Canadian government official with knowledge of the discussions told Reuters on Wednesday, October 28.

Where the talks stand

US President Donald Trump widened the trade rift in August by imposing 50% tariffs on a wide range of imports from Canada, accusing Canada of discriminatory treatment of American goods; Canada responded with retaliatory tariffs. Talks on a broader agreement stalled in August when Canada walked away from the negotiating table. Reuters reported on Monday that the two countries were working on a trade deal.

What Carney and Washington say

Prime Minister Mark Carney said on Monday there had been a slight intensification in talks, and reiterated on Wednesday that Canada is ready to sign an agreement in the interests of both nations. “If those deals present themselves, we will pursue them, but we are not at that position right now,” Carney told reporters.

A US official said on Wednesday there were significant ongoing talks, including between US Commerce Secretary Howard Lutnick and Dominic LeBlanc, Canada's minister responsible for trade with the United States. The White House said the Office of the US Trade Representative and the Commerce Department are continuing to work together, and that both Lutnick and US Trade Representative Jamieson Greer have had discussions with their Canadian counterparts in recent days.

What comes next

Neither side has announced a timetable for the next round. How far the steel and auto tariffs will be eased remains the central disagreement, and the tariffs imposed since August, along with Canada's retaliation, remain in effect.