00:04Canada and the United States are racing against the clock.
00:08But despite weeks of meetings, there is still no trade deal.
00:12Canadian Trade Minister Dominic LeBlanc has reportedly warned
00:16that Ottawa and Washington remain quite far away from an agreement
00:20that Prime Minister Mark Carney could approve.
00:23And time is running out.
00:25President Donald Trump's threatened 50% tariffs are scheduled to take effect on August 19.
00:32Nearly $20 billion worth of Canadian goods could be caught in the crossfire.
00:37Now negotiators are working through the weekend,
00:40as one of America's closest trading relationships heads toward another dangerous deadline.
00:47Dominic LeBlanc is in Washington with Canada's chief trade negotiator and a team of officials.
00:53And the meetings have been intense.
00:56LeBlanc has met U.S. Trade Representative Jameson Greer four times in just three weeks.
01:02But behind that constant diplomacy is a stark assessment.
01:06According to a source briefed on LeBlanc's discussions with Canada's Trade Advisory Committee,
01:11the two sides remain far from a draft agreement that Canada's Prime Minister could sign.
01:17And the biggest disagreements are still unresolved.
01:20The immediate threat is Trump's new 50% tariffs.
01:24They could affect nearly $20 billion worth of Canadian goods,
01:29equivalent to roughly 5.2% of Canada's exports to the United States.
01:34But there is another reason Ottawa is particularly worried.
01:38Unlike many earlier Trump tariffs, these duties could hit products that currently received preferential treatment
01:45under the U.S.-Mexico-Canada Agreement .
01:49That means the dispute could reach directly into the trade framework that has governed commerce across North America.
01:57Both sides are now reportedly exploring an interim agreement.
02:01The objective would be to resolve at least some existing U.S. tariffs while preventing the new 50% duties
02:08from taking effect.
02:09But getting there means navigating a long list of politically sensitive disputes.
02:15Autos are one major battleground.
02:17The United States has reportedly discussed reducing its auto tariff from 25% to somewhere around 12.5% to
02:2615%.
02:27Washington wants greater access to Canada's tightly controlled dairy market.
02:32The dispute centers partly on how Canadian import quotas are allocated under its supply management system.
02:39Canada has resisted major changes.
02:42Ottawa, meanwhile, wants relief from American tariffs on Canadian steel and aluminum.
02:48And Canada's long-standing softwood lumber dispute with the United States remains another difficult issue.
02:55Each concession potentially creates another political problem at home.
02:59The United States also wants Canada to remove retaliatory tariffs and address policies Washington considers discriminatory.
03:08Other areas under discussion reportedly include critical minerals, energy cooperation, defense purchases, and Canadian procurement policies.
03:17That leaves negotiators attempting to solve several major disputes simultaneously.
03:22And one person briefed on the Canadian government's assessment summed up the difficulty.
03:27Nothing is agreed until everything is agreed.
03:31That is particularly dangerous with the August 19 deadline approaching.
03:36Canadian Chamber of Commerce CEO Candice Lang says multiple meetings are planned over the weekend.
03:43LeBlanc has also briefed Canada's provincial and territorial trade ministers.
03:47That reflects just how widely the consequences could spread if negotiations collapse.
03:53Canada is Canada's dominant export market.
03:57Automotive manufacturing, metals, energy, agriculture, and numerous integrated supply chains operate across the border.
04:04For now, the negotiations continue.
04:07Meetings are happening almost constantly.
04:10LeBlanc is staying in Washington through the weekend.
04:13Both governments have powerful incentives to prevent another major North American trade confrontation.
04:19But the fundamental disagreements remain.
04:22Washington wants concessions.
04:24Ottawa wants tariff relief.
04:26And neither side appears ready to accept the other's terms.
04:40Subscribe to OneIndia and never miss an update.
04:45Download the OneIndia app now.
04:48.
04:49.
04:50.
Comments