Trump Doubts Trade Deal with Canada Before August Deadline

WASHINGTON, D.C. — U.S. President Donald Trump expressed skepticism about reaching a trade deal with Canada, suggesting that his administration might instead impose tariffs unilaterally. Speaking to reporters on Friday as he prepared for a trip to Scotland, Trump said, “We haven’t really had a lot of luck with Canada. I think Canada could be one where there’s just a tariff, not really a negotiation.”

Trump’s remarks came ahead of a looming August 1 deadline he set for several countries to finalize new trade agreements, including Canada. If no deal is reached, U.S. importers will face a 35% tariff on goods not covered under the existing North American Free Trade Agreement (NAFTA), which includes Canada and Mexico.

Canadian Prime Minister Mark Carney recently indicated that Canada will not rush into a deal, emphasizing, “we will not accept a bad deal.” His comments, made earlier this week, reflect a cautious approach to negotiations. The U.S. has already imposed a 25% tariff on specific Canadian goods, along with additional tariffs on steel, aluminum, and certain vehicles.

The economic ties between the U.S. and Canada run deep, with Canada exporting three-quarters of its products to the U.S. The automotive industry, in particular, is heavily interlinked, making the stakes high for both sides. Despite this, Canadian officials, including Intergovernmental Affairs Minister Dominic LeBlanc, have characterized the ongoing discussions as “productive,” reiterating Canada’s commitment to secure the best possible terms.

LeBlanc acknowledged, “we have a lot of work in front of us,” after meeting in Washington with U.S. trade officials. Although progress has been reported, he stressed that Canada would take the necessary time to achieve an agreement that benefits its economy and workers. Recently, Trump mentioned positive developments in trade negotiations with other countries, such as Japan, but criticized the pace of talks with Canada.

The August 1 deadline looms, but Canadian officials appear to downplay the possibility of reaching an agreement by then. Trump’s comments represent a troubling sign for trade relations, with the potential for tariffs to impact both countries significantly.