Canadian and American trade negotiators were in the process of drafting 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 they were working on outlining the initial steps for a trade deal between the two countries and documenting their viewpoints.
Trump unexpectedly halted the negotiations through a late-night social media post last Thursday, following an advertisement by the Ontario government that utilized former U.S. president Ronald Reagan’s words to convey an anti-tariff message to American audiences.
During a committee hearing, Hillman was questioned about the progress of the talks before they were abruptly halted. While she acknowledged advancements made since Prime Minister Mark Carney’s recent visit to Washington, she pointed out that certain unresolved issues still existed.
Although initial hopes were for a comprehensive trade and security agreement with tariff relief, efforts in recent weeks have been primarily directed towards specific sectoral tariffs. Reports suggested a potential deal on aluminum and steel could have been reached during the Asia-Pacific Economic Cooperation Summit, but Carney played down these speculations, emphasizing that ongoing discussions were more nuanced.
Hillman explained to the committee that recent talks had been mainly centered on steel and aluminum but not at the expense of other industries. The United States had expressed interest in prioritizing certain issues while not disregarding others entirely, aiming to expedite discussions on some sectors first before addressing the rest, emphasizing the importance of sequencing in their approach.