Talks continue in Malaysia and South Korea amid tariff turmoil
Canada and the United States are advancing sector-specific trade discussions covering steel, aluminum, and automotive products as Ottawa prepares for the Asia-Pacific Economic Cooperation (APEC) summit in South Korea later this month, Prime Minister Mark Carney said Tuesday.
Carney told reporters in Ottawa that the talks form part of ongoing efforts to address long-standing trade frictions between the two countries under the United States-Mexico-Canada Agreement (USMCA). “We’re in ongoing discussions with the Americans, and I wouldn’t overplay it,” he said, noting that he will meet with US president Donald Trump during the APEC summit to discuss the issue further.
Trade minister Dominic LeBlanc said the negotiations have entered a detailed stage, with discussions extending to other sectors such as copper and lumber. “We’re making progress,” he said. “We’re into a level of detail that we hadn’t seen previously, but we still have work to do.”
LeBlanc added that the government would not impose artificial deadlines for the talks, saying the goal is to secure an arrangement that protects the interests of Canadian industries and workers.
Officials told CTV News that both sides have made progress in the metals discussions and that Canada expects further movement ahead of the APEC meetings. The talks follow a period of tariff exchanges between Ottawa and Washington earlier this year, after the United States imposed duties on Canadian steel, aluminum, and autos. Canada responded with its own measures while pursuing a negotiated solution.
Carney’s recent meeting with Trump at the White House was part of a renewed push to stabilize trade relations. US commerce secretary Howard Lutnick told a Toronto business audience that progress may require concessions in the automotive sector. Carney was also hosted by vice president JD Vance and his wife, Usha, for a dinner where economic and security cooperation were discussed.
Last August, Canada aligned its tariff exemptions with those of the United States under the USMCA, removing some retaliatory duties while keeping restrictions on certain steel, aluminum, and auto products pending further negotiations.
The USMCA continues to serve as the foundation for trade between Canada and the United States, covering tariff-free exchange for more than 85% of goods. With over 75% of Canadian exports destined for the U.S. market, Carney said maintaining stable and fair trade arrangements remains essential.
LeBlanc said both governments intend to sustain regular dialogue until the remaining disputes are resolved. Carney, meanwhile, is set to meet other regional leaders at the APEC summit to explore additional opportunities for trade cooperation.
