A Canadian official has indicated that Prime Minister Mark Carney and U.S. President Donald Trump are expected to speak in the coming days following Washington’s decision to impose a 35% tariff on certain goods excluded from the United States-Mexico-Canada Agreement (USMCA).
Dominic LeBlanc, Canada’s minister responsible for trade with the U.S., expressed cautious optimism on CBS News’ “Face the Nation,” saying, “We’re encouraged by the conversations with Secretary Lutnick and Ambassador Greer, but we’re not yet where we need to go to get the deal that’s in the best interest of the two economies.”
He also suggested a deal to reduce tariffs and increase economic certainty remains possible. “We think there is an option of striking a deal that will bring down some of these tariffs provide greater certainty to investment,” he added.
The tariff hike follows months of trade disputes initiated by President Trump earlier this year.
The U.S. partly justified the latest tariffs by citing Canada’s alleged failure to stop fentanyl smuggling, which has contributed to the opioid crisis.
In response, Prime Minister Carney noted that Canada accounts for only about 1% of fentanyl imported into the U.S. and highlighted Canada’s intensified efforts to reduce the drug’s flow across the border.
Experts warn that continued tariff increases could disrupt key supply chains and damage investor confidence. Canadian officials continue to push for negotiations, emphasising collaboration for mutual economic benefit.