Measures designed to protect Canadian culture and the French language have been removed from the U.S. trade demands. Canada’s chief negotiator Dominic LeBlanc said the change could pave the way for the suspended trade talks between the two countries to resume.
LeBlanc said they welcomed the U.S. stepping back from its approach to the discoverability and labeling of digital content. The Canadian negotiator also viewed positively the confirmation that measures supporting French and Canadian culture would not later be included in the scope of U.S. trade sanctions.
Canada’s chief negotiator said they expected constructive statements on the U.S.’s other positions. LeBlanc said he hoped new opportunities would emerge for a trade agreement that respected Canada’s sovereignty and benefited both sides.
Talks suspended after last-minute demands
The two countries had been close to an agreement that would prevent new 50% U.S. tariffs planned for goods worth approximately 27 billion Canadian dollars. However, Canadian Prime Minister Mark Carney abruptly halted the trade talks last Friday after the U.S. presented several last-minute demands that Canada viewed as an attack on its sovereignty.
The U.S. brought tariffs on approximately 700 products into effect. Carney also announced a measure providing for equivalent counter-tariffs, scheduled to take effect on September 8, in response to products imported from the U.S.
Seafood removed from counter-tariff list
Canada said it could revise the scope of the counter-tariffs based on feedback from businesses in the country. The Canadian Finance Ministry announced that some adjustments had been made to prevent broader economic damage and that seafood and fish products had been removed from the counter-tariff list.
The ministry said equivalence in value and rate would be maintained for tariffs imposed in response to U.S. products. While LeBlanc pointed to the possibility of renewed negotiations, U.S. negotiator Jamieson Greer said there was currently no open communication channel between the two countries.
