US-Canada Trade Truce Talks Intensify as Tariff Deadline Looms
Washington and Ottawa race to avert new 50% tariffs on Canadian goods, while Gaza ceasefire and Korea drills add to global tensions.
With just hours to go before a midnight deadline, negotiators from the United States and Canada are locked in intense discussions to prevent a fresh wave of tariffs from taking effect. The proposed measures would impose a 50% duty on roughly $20 billion worth of Canadian products, ranging from hockey sticks to tongue depressors.
Canadian Prime Minister Mark Carney confirmed that talks are underway, describing them as "very intense and delicate." Speaking in French, he declined to discuss details publicly, saying the moment calls for discretion.
The tariff threat marks the latest escalation in a trade relationship that has long been punctuated by disputes over softwood lumber and dairy market access. However, the current standoff is notably more confrontational, with President Donald Trump's administration linking trade policy to broader political objectives and making provocative statements about Canada's sovereignty.
Meanwhile, the fate of the Gaza ceasefire remains uncertain following a lengthy meeting between U.S. negotiator Jared Kushner and Israeli Prime Minister Benjamin Netanyahu. While officials expressed cautious optimism, Israel has not committed to the latest U.S.-backed proposal. Hamas has accepted the plan, but disagreements persist over the sequencing of disarmament and Israeli troop withdrawal from occupied parts of Gaza.
In a separate development, President Trump has ordered a reduction in joint military exercises with South Korea, citing Seoul's refusal to participate in U.S. military action against Iran and his personal rapport with North Korea's leader. The decision has puzzled allies and drawn criticism from former diplomats, who warn it could undermine security alliances across Asia and beyond.
As the tariff deadline approaches, the outcome of the U.S.-Canada talks will be closely watched, with implications for trade relations and diplomatic stability on multiple fronts.