Just days before the expected August 1 deadline for a trade deal with Canada, U.S. President Donald Trump stated that his administration hasn’t prioritized negotiations with Ottawa.
“We don’t have a deal with Canada,” Trump told reporters Friday morning. “We haven’t really been focused on that. I don’t think it’s even a negotiation — they might just end up paying tariffs.”
Trump noted progress with other global partners, highlighting breakthroughs with the European Union, China, and Australia — the latter of which recently eased its beef import restrictions, opening doors for increased U.S. exports.
Meanwhile, Canadian Trade Minister Dominic LeBlanc had a more optimistic tone after recent meetings in Washington. He said discussions with U.S. Commerce Secretary Howard Lutnick and a bipartisan group of senators were productive, though he admitted the talks remain “complex” and could stretch beyond the August 1 deadline.
Trump has pledged to impose a 35% tariff on Canadian goods that aren’t covered under the existing free trade agreement, unless a new deal is reached. He also warned that the rate could climb if Canada retaliates.
Canada is already facing steep U.S. tariffs on steel, aluminum, and automobiles — and copper duties are set to take effect the same day. Letters outlining the tariffs have already been sent to Ottawa and other trading partners. Trump considers these letters to be “essentially contracts.”
While some countries, like Japan and EU members, have resumed negotiations after receiving similar letters, Canada’s discussions with the U.S. remain stalled.
Minister LeBlanc said Canada is still working toward the August 1 deadline but won’t rush into a bad agreement. Prime Minister Trudeau’s office declined to comment on Trump’s remarks, while LeBlanc is expected to return to Washington next week.
