Canada and the United States are moving closer to a new trade agreement after lengthy and substantive talks between Canadian Prime Minister Mark Carney and US President Donald Trump, Carney said on Saturday. The two leaders have not yet reached a final deal, but Carney described the discussions as productive and said negotiations were heading in a positive direction. It marks a clear change of tone after talks collapsed in August, triggering months of tariffs on both sides.
FAKTA
- Prime Minister Mark Carney says Canada and the United States are making progress towards a trade deal after lengthy talks with President Donald Trump.
- Carney spoke on Saturday, 14 November 2026, during a state visit to the Philippines, alongside meetings around the 49th ASEAN Summit.
- No final agreement has been reached, and no terms or timeline have been announced.
- Talks broke down in August 2026; the US has since imposed tariffs of up to 50 percent on Canadian goods, and Canada has retaliated.
- Carney also said Canada would not walk away from NATO and that Europe’s security must be decided by a free Europe and NATO, not Russia.
Talks resume after August breakdown
Negotiations broke down in August, when the two sides could not bridge their differences over US demands. Canada suspended the talks, judging some terms unfair, and the United States imposed tariffs of up to 50 percent on billions of dollars’ worth of Canadian goods. Canada answered with retaliatory tariffs, leaving businesses on both sides facing months of uncertainty.
The tone shifted at the start of November. After a call with Carney on 1 November, Trump told reporters in Iowa that the two sides had the “concept” of a deal good for American farmers and fair for Canada. Carney called it a good conversation and said their teams would work in the coming weeks towards an agreement. Trump also raised the Keystone XL pipeline, although neither side has confirmed any final terms.
Carney said days later that Washington was now “asking less and offering more”. According to reports, US demands touching on French-language content rules and Canada’s other trade agreements are no longer on the table. The auto sector is expected to remain the hardest issue, with tariffs on vehicles and parts central to the dispute.
Carney reaffirms NATO commitment
Carney also used the visit to underline Canada’s commitment to NATO and European security. He said Canada would not abandon the alliance and stressed that the security arrangements of a free Europe should be decided by a free Europe and NATO, not by Russia.
What happens next
Neither leader has given a date for a completed agreement, and no draft text has been published. Negotiating teams will continue working in the coming weeks, and businesses and markets will watch the next round closely. A deal could bring greater certainty for exporters in both countries, but until the remaining differences are resolved, the tariff dispute remains in place.
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