Multiple Channels of Communication Help Move Canada-U.S. Trade Talks Toward Tariff Relief
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Comments by U.S. Vice-President JD Vance have highlighted the multiple channels of communication operating between Canada and the United States during trade negotiations, as Canadian officials say the two countries are now very close to an agreement that could reduce tariffs on key Canadian sectors, including automobiles, steel and aluminum.
Speaking at a private event in New York, Vance characterized Prime Minister Mark Carney as taking a tough negotiating position with the Trump administration. While criticizing some aspects of Canada’s approach, Vance also said he gets along well with Carney, pointing to continuing political communication despite difficult issues between the two governments. Vance’s assessment that Canada has shifted on some issues remains the U.S. vice-president’s characterization, as the final terms of an agreement have not yet been publicly released.
Vance also highlighted Conservative MP Jamil Jivani’s informal role in maintaining contacts with Washington, describing him as an effective advocate for Canada on some issues. Vance said U.S. Commerce Secretary Howard Lutnick and U.S. Trade Representative Jamieson Greer are leading the formal negotiations, while his own involvement has been greater than usual because of his relationship with Jivani.
Jivani has previously travelled to Washington to meet administration officials, saying his goal was to help build communication between the two countries and support efforts to reach an agreement beneficial to Canada. During another visit in April, he joined Canadian MPs and business representatives for discussions with Greer that also included Canada’s ambassador to the United States.
The contacts come as negotiations reach an advanced stage. Canada-U.S. Trade Minister Dominic LeBlanc said the two sides are "very close" to an agreement following more than three hours of talks with Greer in Washington, adding that negotiators would continue working on the remaining issues.
Under the proposed agreement, the main U.S. tariff on Canadian-built vehicles is expected to fall from 25 per cent to 15 per cent, while tariffs on Canadian steel and aluminum could be reduced from 50 per cent to 25 per cent, according to sources cited by Reuters. Important implementation questions remain, including how Canadian content in vehicles will be calculated and how exemptions will operate.
