Canada-U.S. trade talks enter critical stage as tariff differences remain

Canada and the United States have entered a critical stage in trade negotiations this week as Ottawa works to avoid new 50 per cent tariffs proposed by U.S. President Donald Trump.

Canada-U.S. Trade Minister Dominic LeBlanc held a virtual meeting over the weekend with U.S. Trade Representative Jamieson Greer. Canada’s chief trade negotiator, Jannis Charette, also took part. LeBlanc remained in Washington on Monday, although no additional meetings were scheduled.

According to sources, negotiations remain stalled over tariffs on lumber and automobiles. U.S. negotiators have refused to reduce tariffs on Canadian lumber and have proposed lowering auto tariffs to 15 per cent, a measure Canada has not accepted.

Sources say Canada is also preparing possible retaliatory measures if the White House moves Wednesday to impose new tariffs on more than $20 billion worth of Canadian goods. The U.S. side has previously described the talks as positive but has said Canada would need to remove its retaliatory tariffs.