\u201cI have paused the 50% Tariffs against Canada,\u201d President Trump wrote in the post, \u201cbased on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!\u201d<\/p>\n
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President Trump did not provide additional details on what the agreement contained, though he did mention the Keystone XL Pipeline in the post. The planned extension<\/a> to the existing Keystone Pipeline, which moves oil between Canada and the U.S., has been in the works since 2015. In 2021, in reaction to environmental concerns, former President Joe Biden signed an executive order to revoke the permit initially granted for project completion. Earlier this year, Trump signed an executive order to restart the expansion on a different route.<\/p>\n Canada\u2019s Prime Minister Mark Carney was more reserved in his announcement on X<\/a> of a possible agreement. \u201cSubstantial progress has been made, although there is important work still to be done,\u201d Prime Minister Carney said in the statement. \u201cWhile we continue this work, Canada remains focused on building a stronger, more independent and more competitive economy at home.\u201d<\/p>\n U.S. Trade Representative Ambassador Jamieson Greer said on X<\/a> \u201cthe deal will include comprehensive market access for all American goods, economic security commitments, digital trade alignment and many important provisions that will continue to protect our market and American workers, along with our Canadian partners.\u201d<\/p>\n It\u2019s been a busy 30 days of trade negotiation between the two countries after President Trump announced the potential 50% levies<\/a> on a slew of products, including some previously declared tax-free under USMCA, the revamped NAFTA. Reports suggest<\/a> the U.S. has demanded that Canada abandon retaliatory tariffs on American cars, alter how it issues dairy supply licenses and return American alcohol to store shelves. In the defense sector, the Trump administration is asking for right of first refusal over critical Canadian minerals and wants Canada to purchase U.S.-made radar planes as part of the Golden Dome missile defense system.<\/p>\n Part of the ongoing conversations has also involved concessions<\/a> \u2013 reduced levies on Canadian metal, lumber and car parts in exchange for the U.S. opening up Canadian access to goods such as dairy products.<\/p>\n The U.S., Canada and Mexico are also preparing for renewed talks about the future of the USMCA<\/a> after the Trump administration announced this summer that it wouldn\u2019t be renewing it. Next comes annual reviews of the agreement until the official expiration date of 2036.<\/p>\n
<\/p>\n Stay Ahead of the Curve<\/p>\n