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Tariffs

Canada and US Leaders Engage in Productive Discussion Amid Trade Dispute

Strategic Insights

— 1 min read

Canadian Prime Minister Mark Carney and US President Donald Trump spoke on Thursday in their first phone call in nearly two months, according to a government source. The conversation was described as "lengthy and substantive," with discussion on current trade challenges, opportunities, and shared priorities in a new economic and security relationship between Canada and the US. The leaders also spoke about Trump's leadership to support long-term peace and security for Ukraine and Europe, and agreed to reconvene shortly.

Key Takeaways:

  • The phone call between Carney and Trump marked the first time they had officially spoken since June 29, and was initiated by Carney.
  • The conversation was described as "lengthy and substantive," with discussion on trade challenges, opportunities, and shared priorities in a new economic and security relationship between Canada and the US.
  • The leaders also spoke about Trump's leadership to support long-term peace and security for Ukraine and Europe, and agreed to reconvene shortly.
  • Despite the productive discussion, the trade dispute between Canada and the US remains stagnant, with no sign of resolution.
  • Canada is also facing pressure from China, with the imposition of preliminary duties of 75.8 per cent on Canadian canola seed.
  • Saskatchewan Premier Scott Moe is urging a collaborative approach to addressing trade pressures from the US and China, and has convened a meeting with industry groups and exporters to discuss the issue.
  • Canada's goal is to protect market share and access to significant markets, including the US and China, where there are "much uncertainty on a number of fronts, including agriculture products."

Statistics:

  • 75.8 per cent: the preliminary duty imposed by China on Canadian canola seed.
  • 100 per cent: the tariffs imposed by the US on Canadian canola oil and canola meal.
  • 35 per cent: the increased tariff on some Canadian goods imposed by Trump.
  • 25 per cent: the tariff previously imposed on Canadian goods that don't comply with the Canada-US-Mexico Agreement (CUSMA).
  • 2 months: the amount of time since Carney and Trump last spoke.
  • August 1: the deadline for a new economic and security deal between Canada and the US.
  • $2.4 billion: the value of Canadian canola exports to China in 2020.

Sources:

  • The Toronto Star
  • An official readout from the Prime Minister's Office
  • A government source
  • Saskatchewan Premier Scott Moe
  • Canola Council of Canada
  • US President Donald Trump
  • Canadian Prime Minister Mark Carney

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