LeBlanc says Canada-U.S. trade talks unlikely until USMCA review
Trade Minister Dominic LeBlanc says any trade discussions will be put off until after the review of the Canada-U.S.-Mexico Agreement is complete.
Don’t expect the Carney government to talk tariffs with the Trump administration anytime soon. Trade Minister Dominic LeBlanc says any trade discussions will be put off until after the review of the Canada-U.S.-Mexico Agreement is complete.
“If ever in those conversations there’s an opportunity for the Americans to agree to something that would be in their interest and in Canada’s economic interest, of course we’re all in and ready to do that work,” LeBlanc LeBlanc told CBC News on Sunday.
CUSMA, which has protected Canada from many of U.S. President Donald Trump’s import tariffs, won’t be up for review until January.
However, Canada has been forced to pay 25 per cent across-the-board tariffs on items not covered under CUSMA, along with 50 per cent tariffs on Canadian steel and aluminum exports.
Trump had initially discussed reducing the 50 per cent tariffs before Ontario Premier Doug Ford commissioned a U.S. ad campaign criticizing the U.S. president’s stance.
The Trump administration immediately halted all trade negotiations after the commercial aired, calling it a “fraudulent” use of Ronald Reagan’s words.
LeBlanc lamented the progress he believed Ottawa had been making before the Ford ad campaign, calling the fallout “regrettable.”
“It would have been important for the Canadian economy had we been able to land a deal that was in the interests of Canadian workers and Canadian businesses,” he said.
The U.S. has also hinted at the idea of separate trade agreements with Canada and Mexico once CUSMA is reviewed this summer.
However, Canada’s ambassador to the U.S., Kristen Hillman, remains optimistic that such dramatic changes to North American trade won’t occur, saying she hasn’t “heard any indication from the U.S. side that they want to change that foundation.”
“I don’t think this is an area of alarm. A stable, predictable, open, manageable trade relationship between our three countries is essential for the prosperity of our three countries,” said Hillman. “So that is what gives me confidence that this treaty will remain.”
While the future of CUSMA won’t be decided until July 1, 2026, U.S. lead trade negotiator Jamieson Greer will provide a report to the U.S. Congress next month to indicate Trump’s plans for the trade deal.
Canada, Mexico and the U.S. may declare their decision to withdraw from CUSMA at any time after providing six months’ notice to their partners.