Canadian and American trade negotiators had been working on outlining a potential agreement before U.S. President Donald Trump abruptly terminated trade discussions last week, according to Canada’s ambassador in Washington. Ambassador Kirsten Hillman informed the Senate foreign affairs committee that efforts were underway to sketch out the initial steps of a trade deal between Canada and the United States. However, negotiations came to an abrupt halt following a social media post by Trump last Thursday, triggered by an advertisement from the Ontario government featuring former U.S. president Ronald Reagan’s anti-tariff message to American audiences.
During a Senate committee hearing, Hillman addressed the progress of the talks before the sudden suspension. While acknowledging advancements made since Prime Minister Mark Carney’s visit to Washington, she noted that certain unresolved issues remained. Hillman emphasized that although an agreement was not imminent, significant progress had been achieved in recent weeks.
A meeting between Carney and Trump took place earlier in the week, where they exchanged acknowledgments during a dinner ahead of the Asia-Pacific Economic Cooperation Summit. Despite this encounter, little substantial engagement was observed.
Initially aiming for a comprehensive trade and security deal with tariff relief, Ottawa had shifted its focus in recent weeks towards specific sectoral tariffs. Reports suggested a potential deal on aluminum and steel could be reached around the APEC summit, although Carney downplayed these claims, emphasizing ongoing discussions with the U.S.
Hillman highlighted that recent talks had concentrated on steel and aluminum sectors, but stressed that other industries were not being neglected. She mentioned that the U.S. had expressed interest in prioritizing certain issues while keeping others in consideration, emphasizing a sequencing approach rather than exclusion.