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Canada

Trump says Canada trade deal concept includes Keystone XL, Carney says not yet there

Talks on a Canada-U.S. trade deal are continuing as January auto tariffs loom, which matters for importers, manufacturers and buyers of Canadian-built vehicles.

Photo: Yahoo Finance

What happened

President Donald Trump told reporters in Dubuque, Iowa, on Sunday that his administration has the concept of a new trade deal with Canada and that the Keystone XL pipeline would be part of it. Yahoo Finance Prime Minister Mark Carney said the exchange builds on recent constructive discussions. Yahoo Finance+1 Carney said at a Commonwealth leaders' meeting that the two sides are asking less and offering more but are not quite there yet, without saying which issues remain open. Yahoo Finance Trump said both sides had the concept of a very good deal, and negotiators will work in the coming weeks toward an agreement. Owensboro Messenger-Inquirer Trump has also threatened new tariffs on Canadian automobiles beginning in January. AP News

Around it

Reports say autos are expected to be the main sticking point in the talks. Yahoo Finance Carney on Friday welcomed any moves by Democrats to restore free trade between Canada and the United States after the U.S. midterm elections gave Democrats control of both chambers of Congress. The Hamilton Spectator+1 Senator Ron Wyden, who is expected to chair the Senate finance committee in January, has said he is already talking with colleagues about legislation to remove the tariffs on Canadian goods, which Trump could block with a veto. The Hamilton Spectator+1 Talks had stalled in August when Canada rejected U.S. demands, after which Trump imposed tariffs on Canadian goods and Canada retaliated. Owensboro Messenger-Inquirer

What comes next

Carney is expected to meet Trump at the APEC summit in China later this month. Yahoo Finance

Sources

  1. Yahoo FinanceTrump Has a ‘Concept’ for a Canada Deal, Carney Says ‘Not Quite There,’ and Canadian-Built Cars Still Face a Jan. 1 Threat
  2. Owensboro Messenger-InquirerCanada's Carney reports progress in trade talks with US. Trump talks up 'concept' of a deal (copy)
  3. The Hamilton SpectatorCarney says Canada welcomes ‘any moves’ to restore free trade after U.S. midterms
  4. AP NewsCarney welcomes Democrats' push to end Trump's tariffs...
  5. WWDNewly Emboldened Dems Gear Up for a Fight Against Trump’s Canada Tariffs, PM Carney Welcomes Effort

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