Canadian and American trade negotiators are drafting an agreement to present to U.S. President Donald Trump before steep tariffs on Canadian goods take effect on August 19.
Dominic LeBlanc met with U.S. Trade Representative Jamieson Greer on Tuesday alongside Canada's Chief Trade Negotiator Janice Charette, their third meeting in as many weeks. Charette warned her American counterpart that additional tariffs could halt bilateral trade negotiations, though she stopped short of issuing an ultimatum. Ottawa may offer concessions on existing trade irritants in exchange for Washington withdrawing the measures.
Trump signed proclamations in July imposing 50% tariffs on a wide range of Canadian products, covering nearly $20 billion in imports. Unlike previous rounds, goods covered by the USMCA will not be exempted. Canadian Prime Minister Mark Carney has agreed with Trump to intensify negotiations toward a deal. Oxford Economics estimates that a collapse of the USMCA would cost the U.S. roughly 214,000 jobs and Canada about 102,000.