Canadian Prime Minister Mark Carney has said negotiations with the United States are moving forward, following a lengthy conversation with President Donald Trump and senior officials, even as Ottawa works to expand trade ties across Asia and reduce its reliance on the American market.
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Ottawa → say → market
Speaking to reporters in Manila on Saturday, Carney said he had a “quite a long, substantive conversation” with Trump shortly before leaving for his trip to Europe and Asia.
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he → speak → Europe
“We are making progress.
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We → make → progress
But we’re not yet there,” he said.
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he → ’re → ?
US Trade Representative Jamieson Greer and Trump's newly appointed White House chief of staff, Stephen Miller, also took part in the discussion, Carney said.
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Carney → appoint → discussion
Ottawa, however, is not prepared to accept terms that could weaken its automotive industry, which has faced pressure from US tariffs.
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which → accept → tariffs
The latest discussions follow the breakdown of trade negotiations in August, when Canada suspended talks over last-minute demands from Washington that it considered unacceptable.
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it → follow → Washington
The US subsequently imposed 50% tariffs on around $20 billion worth of Canadian goods, prompting Canada to introduce retaliatory duties in September.
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US → impose → September
Negotiations have since resumed.
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Negotiations → resume → ?
A potential agreement could ease some of the tariffs affecting major industries, including steel and aluminium.
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agreement → ease → steel
However, the scope of any deal remains uncertain.
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scope → remain → deal
Before the US midterm elections, Trump said the two countries were close to reaching an agreement.
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countries → say → agreement
Carney later indicated that Washington had withdrawn demands concerning Canadian cultural policies, French-language protections and Ottawa's ability to negotiate trade agreements with other countries.
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Washington → indicate → countries
Trade tensions also became an issue during the midterm campaign.
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tensions → become → campaign
Democrats criticised the tariffs, linking them to higher consumer prices and promising to challenge the measures.
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Democrats → criticise → measures
Their electoral gains have complicated Canada's negotiating position.
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gains → complicate → position
Ottawa must now weigh the possibility of securing partial tariff relief through an agreement against holding out for broader free-trade access as Congress prepares to scrutinise the existing measures.
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Congress → weigh → measures
While discussions with Washington continue, Carney announced progress on two separate trade arrangements in Southeast Asia.
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Carney → continue → Asia
Canada has substantially concluded negotiations on a free-trade agreement with the Association of Southeast Asian Nations (ASEAN), a regional bloc representing nearly 700 million people.
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Canada → conclude → people
Ottawa has also completed negotiations on a separate agreement with the Philippines.
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Ottawa → complete → Philippines
The Canadian government estimates that the ASEAN deal could add nearly 2 billion Canadian dollars (US$1.4 billion) to the country's economy and support close to 14,000 jobs, particularly across agriculture and manufacturing.
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deal → estimate → agriculture
Officials expect to sign the agreement next year.
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Officials → expect → agreement
The proposed Philippines agreement would cover more than 90% of tariff lines, Carney said.
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Carney → propose → lines
Ottawa expects the arrangement to help triple Canadian exports to the country by 2035, with formal signing also anticipated next year.
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Ottawa → expect → signing
Both agreements form part of Canada's wider strategy to diversify its export markets amid uncertainty over its trade relationship with the US.
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agreements → form → US
Carney has set a target of doubling Canadian exports to markets outside the US by 2035, making trade diversification a central part of his government's economic agenda.
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diversification → set → agenda
His visit to Manila comes ahead of a three-day ASEAN summit involving regional leaders and representatives from partner countries, beginning on Sunday.
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visit → come → Sunday
The prime minister previously attended the European Political Community summit in Ireland.
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minister → attend → Ireland
His itinerary also includes the Francophonie summit in Cambodia and the Asia-Pacific Economic Cooperation summit in China, where he is scheduled to meet Chinese President Xi Jinping.
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he → include → Jinping