Trump says US-Canada trade deal is close after talks with Carney

• Trump says a US-Canada trade deal is “very close” after talks with Carney, with both sides aiming for a “mutually beneficial” outcome in the coming weeks.
• The talks are more positive than the failed August negotiations, which broke down over tariffs, vehicle relief, and Canada’s concerns about French-language rules.
• Carney says Canada will protect its languages, culture and sovereignty, while also reducing reliance on the US by deepening trade ties with other partners.

WASHINGTON – US President Donald Trump said a US-Canada trade deal is “very close” after talks with Canadian Prime Minister Mark Carney, who said both sides would work on a “mutually beneficial” outcome in the weeks ahead. 

“We have the concept of a very good deal with Canada,” Trump told reporters, repeating his contention that the US has been “losing money for many years” in trade with its northern neighbor. 

With Republican control of Congress at risk in US midterm elections on Nov 3, Trump and Carney offered the most upbeat outlook on trade talks since they collapsed acrimoniously in August. 

Carney, in a social media post earlier on Nov 1, said he spoke with Trump, building on “recent constructive discussions” on the outlines of a deal that would create jobs, boost affordability for families and “fully respect Canada’s languages, culture and sovereignty”.

“Our teams will now be working in the coming weeks to deliver that outcome,” Carney said.

Trump’s tariff policies have spurred Carney to reduce Canadian dependence on trade with the US. Last week, he hosted top European Union officials in Montreal as part of the effort to deepen ties with non-US trade partners.  

After the EU meeting, Carney hinted in a Politico interview that the outcome of the US midterms would not have much of an impact to shift Trump’s policy stance. Canada will not rush into a trade agreement with the US if the terms are not in Canada’s best interest, he said.

“I spoke with the prime minister the other day,” Trump said on Nov 1, referring to Carney.

“I spoke to him again yesterday, and we have the concept of a deal that’s going to be great for our farmers, great for our country, and it will be fine for Canada.” 

US-Canada trade talks collapsed in August when Carney’s envoy walked away from the deal, in part over a dispute about whether to extend proposed US tariff relief to medium and heavy-duty vehicles that Canada was seeking. 

Canada also accused the US of seeking to curtail the use of French – one of Canada’s two official languages – such as regulations designed to promote French-language programming. The US has denied that was ever a key issue. BLOOMBERG