Muhammad Amanullah | August 12, 2026
The True Post (Web News) — Trade negotiations between Canada and the United States have entered a decisive stage, with officials from both countries working toward presenting US President Donald Trump with a potential path to a new trade agreement by next Monday.
The effort is aimed at preventing or reducing potential new 50 percent US tariffs on hundreds of Canadian products that could take effect on August 19.
According to sources, Canadian Trade Minister Dominic LeBlanc and US Trade Representative Jamieson Greer are working on a joint proposal that could be presented to President Trump at least one day before the new tariff deadline.
This would give the US president time to review the proposal and make a final decision before the potential tariffs take effect.
Negotiations Accelerate
Dominic LeBlanc met with US Trade Representative Jamieson Greer in Washington on Tuesday. It was the third direct meeting between the two officials in the past three weeks.
The meeting lasted approximately one hour.
LeBlanc and Canada’s chief trade negotiator, Janice Charette, left Greer’s office without answering questions from reporters.
LeBlanc later said on social media that negotiations were continuing and that he and Charette would remain engaged with the United States at the negotiating table.
Risk of 50 Percent Tariffs
The US administration has announced plans to impose tariffs of up to 50 percent on various Canadian products beginning August 19.
The potential tariffs would affect approximately five percent of Canada’s exports to the United States.
Affected products include wine, hockey sticks, cement and various other goods.
Canadian business groups have already warned that additional tariffs could increase pressure on industries, exports and employment.
The Canadian government is therefore seeking an agreement with Washington before the new tariffs take effect in an effort to keep trade between the two countries operating normally.
CUSMA Also a Major Part of Negotiations
The current negotiations are not only focused on preventing new US tariffs. The future of the Canada-United States-Mexico Agreement (CUSMA) is also an important part of the discussions.
Canada wants the United States to agree to extend the agreement.
The Trump administration rejected a CUSMA renewal in July, creating uncertainty about the future of the free-trade framework between the three North American countries.
According to Canadian officials, the current talks also include discussions about extending CUSMA or establishing a new arrangement to provide greater long-term stability to trade relations.
Seeking Relief on Steel and Aluminum
Canada is not only seeking the removal of the potential new 50 percent tariffs. Ottawa is also seeking relief from existing sector-specific tariffs on steel, aluminum, lumber and automobiles.
Canada argues that additional tariffs on these sectors could disrupt supply chains in both countries because Canadian industries have deep commercial ties with the US market.
What Are the US Concerns?
Washington has cited several trade-related concerns when announcing the new tariffs against Canada.
The US administration has pointed to Canadian measures taken in response to US trade policies, restrictions on the sale of American wine in some provinces, and what it described as discriminatory treatment involving American vehicles and dairy products.
According to US figures, restrictions on American wine sales in most Canadian provinces contributed to a significant decline in US wine exports to Canada during 2025.
Political Pressure on Canadian Government
Alongside the trade negotiations, Prime Minister Mark Carney’s government is also facing political pressure at home.
The Conservative Party has called on the government not to compromise Canadian interests during negotiations with the United States.
Conservative MP Michelle Rempel Garner said Prime Minister Mark Carney must fulfill his commitments and secure a better trade agreement for Canada.
Conservative Leader Pierre Poilievre has also written to Carney, calling for an agreement that would include zero tariffs on softwood lumber, the removal of sector-specific tariffs on steel and aluminum, and a tariff-free arrangement for automobiles.
Waiting for Trump’s Decision
The next few days of negotiations between Canada and the United States are being viewed as highly important for the future of bilateral trade relations.
If Dominic LeBlanc and Jamieson Greer succeed in presenting a joint proposal to President Trump by Monday, the US president will have an opportunity to consider it before the August 19 deadline.
However, the final decision will rest with President Trump, and it remains unclear how much of Canada’s proposals the US administration will accept.
The ongoing negotiations could determine not only whether the potential new 50 percent tariffs are imposed, but also the future of CUSMA and the direction of long-term trade relations across North America.
