Carney says he and Trump have agreed to ‘intensify’ trade negotiations

Canadian Prime Minister Mark Carney announced on Tuesday that discussions with US President Donald Trump have yielded an agreement to accelerate trade negotiations between the two nations. The statement followed Trump's Monday declaration of plans to impose 50 percent tariffs on a broad spectrum of Canadian imports, which Trump attributed to what he characterised as discriminatory treatment of American-made automobiles, alcoholic beverages and dairy products. Carney indicated that intensified discussions would commence immediately as part of ongoing negotiations, with the primary objective being to achieve a comprehensive trade agreement. When questioned about whether the tariffs related to wildfire smoke, Trump clarified that the two matters were separate concerns being addressed independently. The bilateral relationship has faced considerable strain, marked by Trump's previous remarks about making Canada the 51st state, disputes over bridge construction and commentary regarding wildfire smoke. Canadian provincial leaders responded sharply to the tariff announcement during meetings in Prince Edward Island. Ontario's Premier Doug Ford advocated for a reciprocal response on a dollar-for-dollar basis, while Alberta's Premier Danielle Smith warned that the tariffs would harm both Canadian and American workers. Saskatchewan's Premier Scott Moe emphasised the importance of intensifying talks with the United States, describing the relationship as more significant than any individual political leader. British Columbia's Premier David Eby delivered the most forceful statement, declaring that American alcohol would not return to shelves in his province. Carney maintained that Canadian provinces should only lift their bans on American alcohol as part of a broader trade agreement. These bans, implemented by nearly every Canadian province except Alberta and Saskatchewan in response to earlier tariffs, have substantially reduced imports of American wine by over 80 percent since February 2025, according to analysis from the Center for a New American Security. Even Canada's opposition Conservative party called on the prime minister to maintain a firm stance against the tariffs.