'We have more work to do', says Canada negotiator as US trade deadline looms
Source: BBC World โ (cross-verified by 2 outlets โ full list below)
Negotiations to finalise a deal between the US and Canada are going down to the wire ahead of a Friday night deadline. Canada-US trade minister Dominic Le Blanc said negotiators "have more work to do" as he left a meeting with US counterparts ahead of a midnight deadline to finalise a tentative trade deal with the Trump administration. "We're going to continue working up until the last minute," he told reporters in Washington on Friday evening. "Our job is not finished." Negotiators have until Friday night to hammer out the details of the deal or risk a fresh wave of additional US tariffs on a wide range of Canadian goods. Le Blanc spent some eight hours in meetings with US trade representative Jamieson Greer and other negotiators - one of the longest sessions so far as talks go down to the wire. Trump pauses new tariffs on Canada for three days, saying deal close Canada's 'powerful' dairy sector is in Trump's trade crosshairs Hours before the deadline, President Donald Trump did not say whether a definitive deal had been agreed, but that it was "moving along". "We should be able to have a deal with Canada. We're also starting on a new deal with Mexico. A much better deal for the United States. I only make good deals," he told reporters on Friday.
The full framework of the deal has yet to be made public, but details leaked to several media outlets suggest the US will agree to reduce tariffs on Canadian steel and aluminium from 50% to 25%, and tariffs on Canadian automobiles from 25% to 15%. In addition to restoring the sale of American alcohol, Canada is said to be considering allowing American dairy producers greater access to its market and removing its retaliatory tariffs on the US. Conservative opposition leader Pierre Poilievre said that any agreement that includes "one-sided" tariffs on Canadian industry is "a bad deal". "I am concerned with the de-industrialisation of our economy if our key industries pay one-sided tariffs," Poilievre told reporters on Friday. One of Canada's provincial leaders has criticised a prospective trade deal with the US and pushed his country to hold out for favourable terms, showing Prime Minister Mark Carney faces a tough battle in getting buy-in on the agreement hours away from a US-set deadline. Still, Manitoba Premier Wab Kinew said Canada "should fight" and not rush to make concessions. Carney needs Kinew and other premiers to restore sales of US alcohol on liquor store shelves, so that the US will reportedly agree to reduce some of its tariffs on Canadian metals and autos. Quebec Premier Christine Frรฉchette, whose province is home to a large dairy industry, said on Thursday that she was analysing what the deal will mean for Quebec farmers before deciding on whether to restore US alcohol sales. Doug Ford, the traditionally outspoken premier of Canada's largest province Ontario, has yet to comment publicly on the deal. Meanwhile, other premiers, namely of Nova Scotia and the Yukon territory, said they were prepared to restore US alcohol sales.
The mayor of an Ontario city that is home to the country's second-largest steel producer told the CBC that a deal that includes 25% tariffs on the sector "wouldn't be something to celebrate". "I am worried with the news that's coming out that we are not seeing a deal that will benefit our community at the very least," Mayor Matthew Shoemaker said. But Carney has also faced pressure from businesses and stakeholders to reach a deal that would avert an additional 50% tariff that Trump has threatened on a range of Canadian goods, from hockey equipment to wine to cement. Canada could lose 90,000 jobs if the new tariffs were implemented, according to estimates in an analysis published on Thursday , external by Trevor Tombe, a Calgary-based economist. The mixed reaction so far is a glimpse of the task ahead for Prime Minister Carney after he campaigned on a tough "elbows-up" approach to dealing with Trump. Polls suggest a majority of Canadians would be unhappy if the Carney government made significant concessions to the US, with 56% surveyed by polling firm Leger , external saying they wanted Canada to take a hardline approach. In a leaked audio recording reported by the Canadian Press, US Vice-President JD Vance told attendees at a private fundraiser on Wednesday that Carney has tried to "out-tough Donald Trump" in trade talks. "It's hilarious because Carney presents this as some victory for Canada when fundamentally, like, they climb down on a lot of issues," Vance reportedly told the room.
โก Effects Interpreter
๐World Economylow impact
What this means for you
- โถEconomists will chew this over, and growth forecasts might be nudged.
- โถForecasters typically revise their outlook when data like this lands.
๐๏ธLocal Economylow impact
What this means for you
- โถLocal firms typically watch national data before setting their own prices.
- โถEveryday affordability in your area may shift as the numbers filter down.
๐ฆRates & Banksmedium impact
What this means for you
- โถBanks tend to wait and see before nudging the rates they offer.
- โถFinancial markets sometimes overreact to rate speculation before banks even respond.
โค๏ธHealthmedium impact
What this means for you
- โถPublic health messaging can go a long way toward easing collective worry.
- โถA story like this can linger in the back of people's minds for a while.
๐ทWealthlow impact
What this means for you
- โถA brief dip in value is not the same as a permanent loss.
- โถA modest, well-diversified nest egg tends to absorb shocks like this quietly.
๐ Housinglow impact
What this means for you
- โถAny effect on bricks and mortar is likely to be slow and modest.
- โถThe property ladder rarely wobbles much from a single piece of news.
๐ Effects for your country
The U.S.'s central bank rate currently stands at 3.75%, so a global rates move like this could feed through to local borrowing costs. The U.S.'s economy is growing at 2.3% with inflation at 3.2%, the backdrop this story's effects play out against locally. Housing-market effects like this are usually felt most where mortgage rates track the U.S.'s own central bank rate closely. With the U.S.'s unemployment at 4.4%, personal-finance effects like this land on a labour market that is currently fairly stable. Health-system effects are harder to localise from economic indicators alone โ the real impact in the U.S. depends more on local healthcare capacity than the figures above.
The UK's central bank rate currently stands at 3.75%, so a global rates move like this could feed through to local borrowing costs. The UK's economy is growing at 0.8% with inflation at 3.2%, the backdrop this story's effects play out against locally. Housing-market effects like this are usually felt most where mortgage rates track the UK's own central bank rate closely. With the UK's unemployment at 5.6%, personal-finance effects like this land on a labour market that is currently fairly stable. Health-system effects are harder to localise from economic indicators alone โ the real impact in the UK depends more on local healthcare capacity than the figures above.
France's central bank rate currently stands at 2%, so a global rates move like this could feed through to local borrowing costs. France's economy is growing at 0.9% with inflation at 1.8%, the backdrop this story's effects play out against locally. Housing-market effects like this are usually felt most where mortgage rates track France's own central bank rate closely. With France's unemployment at 7.9%, personal-finance effects like this land on a labour market that is already under strain. Health-system effects are harder to localise from economic indicators alone โ the real impact in France depends more on local healthcare capacity than the figures above.
Romania's central bank rate currently stands at 6.5%, so a global rates move like this could feed through to local borrowing costs. Romania's economy is growing at 0.7% with inflation at 7.8%, the backdrop this story's effects play out against locally. Housing-market effects like this are usually felt most where mortgage rates track Romania's own central bank rate closely. With Romania's unemployment at 6%, personal-finance effects like this land on a labour market that is currently fairly stable. Health-system effects are harder to localise from economic indicators alone โ the real impact in Romania depends more on local healthcare capacity than the figures above.
The UAE's central bank rate currently stands at 3.65%, so a global rates move like this could feed through to local borrowing costs. The UAE's economy is growing at 3.1% with inflation at 2.5%, the backdrop this story's effects play out against locally. Housing-market effects like this are usually felt most where mortgage rates track the UAE's own central bank rate closely. Health-system effects are harder to localise from economic indicators alone โ the real impact in the UAE depends more on local healthcare capacity than the figures above.