Prime Minister Mark Carney says on Wednesday at a steel manufacturing facility that trade talks with the U.S. are continuing. Carney on Tuesday says it’s unlikely to strike a deal with the U.S. that removes all tariffs on Canadian goods.Chris Young/The Canadian Press
What level of tariffs Canada would accept as part of a new trade and security pact with the United States remains a point for negotiations, Prime Minister Mark Carney said Wednesday as he stressed talks with the Trump administration are continuing.
On Tuesday, the Prime Minister said he sees little evidence that it’s possible to strike a deal with President Donald Trump that removes all U.S. tariffs on Canadian goods.
It was the first time he acknowledged that a pact to end a four-month Canada-U.S. trade war would likely leave some of Mr. Trump’s protectionist tariffs in place.
On Wednesday, the Prime Minister wouldn’t say which ones or how much might be in play.
“It was a good question, but if I responded to it would be a bad response in the middle of a negotiation,” he said, after an announcement on support for the steel industry in Hamilton.
Carney cracks down further on cheap steel imports into Canada in bid to protect domestic mills
The two countries are in negotiations to resolve a conflict that has seen both sides impose tariffs, starting with Mr. Trump in March.
Last week, the President said he would impose 35-per-cent tariffs on imports from Canada starting Aug. 1, upping pressure on negotiations.
Mr. Carney was also asked Wednesday whether Canada would impose further tariffs on the U.S., if American ones remain.
“We’ll see what the final agreement is, if there is an agreement,” he said. “We’re working towards an agreement in a constructive matter.”
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The prospect of permanent U.S. tariffs has emerged even though Mr. Carney killed the digital sales tax to get Canada-U.S. trade talks back on track after Mr. Trump broke off negotiations in June. The Prime Minister rescinded the tax just before the first payments were due.
Mr. Carney has been criticized by the Conservatives and New Democrats for appearing to concede to Mr. Trump, rather than obtain any victories for Canada, as he promised to during the April election that returned a Liberal minority government.
“We will continue to work constructively for a deal, but it has to be a deal that works for Canadians and Canadian workers,” he said Wednesday.
“And part of the reason why we don’t have a deal is that deal is not yet on the table.”
