Canada Pushes Back Against Trump’s Tariff Demands in Ongoing Trade Negotiations

Canada Holds Firm Amid Tariff Threats From U.S.

As tariff tensions rise, Canadian Prime Minister Mark Carney made it clear that Canada will not accept a trade deal with the United States at any cost. After a high-stakes meeting with the country’s provincial and territorial leaders, Carney signaled doubts about reaching a new trade agreement with President Donald Trump before the looming deadline.

Tariff Deadline Pressures Canada

The urgency follows President Trump’s threat to impose 35% tariffs on Canadian exports starting August 1, 2025. These would add to existing penalties, including:

• 50% tariffs on Canadian steel and aluminum

• 25% tariffs on vehicle parts not made in the U.S.

After convening with all 10 provincial premiers and three territorial leaders, Carney emphasized that Canada seeks a fair deal—not just any deal.

“We’ll accept a deal that benefits Canadians,” he said. “But it’s not our goal to agree at any price.”

Negotiations Still Underway in Washington

Carney confirmed that Dominic LeBlanc, Canada’s lead negotiator and cabinet minister, will remain in Washington, D.C. through the week to continue intense trade negotiations.

“These are complex talks,” Carney said. “We’ll use every hour we need.”

Although Carney had aimed to finalize a deal by July 21, Trump’s latest tariff threats disrupted that plan, casting doubt on whether any resolution can be reached in time.

Canadian Premiers React to U.S. Demands

Ontario Premier Doug Ford expressed frustration over the unpredictability of Trump’s approach.

“He changes positions quickly,” said Ford. “One day you’re in talks, and the next he’s threatening new tariffs on TV.”

Quebec Premier François Legault echoed that concern:

“What can we actually agree on? Even Trump might not know exactly what he wants.”

Both leaders stressed the importance of strengthening trade ties with other countries and investing in domestic infrastructure to reduce reliance on U.S. trade.

Tensions Escalate Over Allegations of Unfair Trade

Earlier that day, British Columbia Premier David Eby confronted U.S. Ambassador Pete Hoekstra, who had criticized Canadian alcohol import rules. Hoekstra claimed that bans on U.S. liquor and wine sales in some provinces contributed to Trump’s view of Canada as “mean and nasty” in trade talks.

Eby didn’t hold back in his response:

“If defending our economy, jobs, and sovereignty makes us ‘mean and nasty,’ then most Canadians would proudly wear that label.”

Key Takeaways

• Canada rejects any trade deal that doesn’t serve its national interests

• U.S. tariffs could increase sharply on August 1

• Talks remain ongoing with Canada’s lead negotiator in Washington

• Canadian leaders push for trade diversification and infrastructure growth

• U.S. Ambassador’s comments stir further political tension