US-Canada trade talks ‘intense’ as new tariff deadline looms

That concession would depend on the agreement of the provinces, which are in control of the alcohol in their respective jurisdictions.

Ontario Premier Doug Ford, who makes a point of being tough on the US, said last week that an agreement on booze is conditional.

Canada has been in pursuit of a deal that would see the US drop or reduce tariffs on its steel, aluminium, automobile and lumber sectors, all of which have been damaging to the country’s economy.

“If we get a fair deal that will protect our steel sector, our auto sector, our forestry sector, our agriculture sector, our manufacturing sector, then we’d be happy to bring booze back on the shelves,” Ford said.

Carney could also face pushback on any concessions on dairy, especially in Quebec, where the premier, Christine Fréchette, has said supply management is non-negotiable.

Trump argues the system, which has production quotas, set pricing, and import quotas on dairy, eggs, and poultry, is “unreasonable” to American farmers who want to sell their products north of the border.

Canadians are also not in the mood to offer many concessions to the US, even as they want more stability.

A new poll from Abacus Data indicates that 74% feel the trade dispute has had an impact on their household, and 36% want to see Canada respond with new counter-tariffs, even if it risks more domestic economic pain.

Just 18% favour concessions like ending provincial bans on American alcohol, in order to remove or reduce US tariffs.

Reports in Canadian media also suggested that Canada’s chief negotiator, Janice Charette, warned her US counterparts, external that the new tariffs could put further trade negotiations at risk if they are enacted on Wednesday.

Carney has said he would not sign a deal unless it’s a good one for Canada, though he has not been clear on what such a deal would look like.

On Monday, he only said: “We’ll have opportunities over the next 48 hours to discuss in more detail as the negotiations go forward.”

He said he planned to speak with Trump before the Wednesday deadline.

He also said that he has “plans for any situation that may arise” should the talks fail.

Conservative trade critic Shuvaloy Majumdar said in a statement that it’s time for “a measure of relief” from economic anxiety.

“We have grown tired of seeing our country used as a punching bag,” he said.

“Yet we share a common hope that Prime Minister Carney will deliver a genuine win at the negotiating table.”