00:00Each of them are accusing the other for derailing the days of these talks.
00:04Now Canada faces 50% tariffs on a variety of products.
00:09So US and Canada had been involved in intense negotiations for the last three days,
00:14and both the sides were signaling as if that they are reaching to a kind of a deal.
00:18But there we are realizing from what we have heard from USTR Greer's office,
00:24the White House briefing, at the same time from Prime Minister Mark Carney's office in Canada,
00:28that there was some kind of a last minute request from both the sides,
00:32which was not fulfilled by each other.
00:35So now each of them are accusing the other for derailing the days of these talks.
00:40Okay, so these products are taking a hit on almost $20 billion of Canadian exports to the United States.
00:48And which, if you look at it from a very objective point of view,
00:51it's not a huge impact because it just affects 5% of Canada's exports to the US.
00:57But what it impacts is actually the critical sectors like the lumber, the softwood lumber,
01:04wood products industry essentially, and the wine industry, then the dairy industry.
01:09So there will be some kind of job losses, there will be some kind of business closures
01:12in these particular sectors.
01:14Although the impact will not be very broad-based,
01:16but at the same time, some sectors will really have a lot of impact.
01:19So even if Canada says there's a dollar-for-dollar retaliation,
01:23it doesn't really mean that the US is going to see a big hit.
01:26But as I said, there will be some industries which will take an impact.
01:30Now, we don't exactly know because Canada has not announced its plans
01:33in terms of which industries it's going to target and how it will target.
01:37What happens now is that if these talks are stalled,
01:41then perhaps we don't know what exactly happens to USMCA negotiations.
01:44If Canada could not reach a deal with US on this,
01:47then the broader USMCA negotiations, there is really a big question mark on that.
Comments