Canadian Prime Minister Carney announced progress in trade agreement negotiations between Canada and the United States ahead of the US midterm elections on November 3.
Published November 1, 2026
Canadian Prime Minister Mark Carney announced progress toward a future trade deal with the United States that could help ease tensions between the two North American neighbors.
Sunday’s announcement came just two days before the Nov. 3 U.S. midterm elections that will decide control of the U.S. Congress.
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“I had a great conversation with President Donald Trump about the future of Canada-U.S. trade,” Secretary Carney wrote in a post on X on Sunday.
Relations between Ottawa and Washington have been strained by an escalating trade war, with Canada and the United States imposing billions of dollars of tariffs on each other’s products in recent months.
“Both teams will work hard over the coming weeks to deliver that result,” Carney said. “This builds on recent constructive discussions on the outlines of a mutually beneficial trade agreement.”
During his second term, President Trump imposed tariffs on many U.S. allies, including Canada, the U.S.’s largest trading partner, and upended global trade.
In August, high-level trade talks between Ottawa and Washington collapsed, and President Trump imposed 50% tariffs on $20 billion of Canadian goods, or 5.5% of exports. Canada responded by imposing comparable tariffs on U.S. steel, dairy products, electronics, farm equipment, pulp and paper, and electronics.
President Trump said last week that he expected a new trade deal with Canada would be reached “soon,” but gave no details.
Trade tensions with Canada have been an issue in the midterm elections, particularly in Michigan and Maine, where Republican candidates are facing pressure over tariffs that are hurting local businesses.
Canada is seeking to diversify its trade options and recently welcomed the European Union’s offer to become an “associate member.”
Mr Carney praised the proposal’s ambition, describing its goal as a “union of its own” rather than traditional EU membership.
