US President Donald Trump said Canada is working hard to reach a trade deal with the US, while insisting that Washington holds the upper hand. The remarks come after negotiations collapsed in August, triggering new tariffs and retaliatory measures that strained relations between the two countries.
US President Donald Trump said on 23 October 2026 that Canada is trying to reach a trade agreement with the US. He made the remarks to reporters at the White House.
Trump argued that Washington holds the upper hand. He said Canada is working very hard to make a deal and that the US has all the cards.
Negotiations between the two countries broke down in August 2026. Both sides then imposed new tariffs and retaliated against each other.
In summer 2026, President Donald Trump imposed 50% tariffs on a broad range of Canadian imports. The administration said the tariffs were a response to what it described as Canada’s unfair treatment of US-made cars, alcohol, and dairy products.
On 22 August 2026, Canadian Prime Minister Mark Carney abandoned a possible trade deal, describing Washington’s demands as unreasonable and made at the last minute. The US then imposed the new tariffs, prompting Canada to introduce retaliatory tariffs on selected US imports.
The collapse has strained relations between the two long-standing allies, and each government has blamed the other for the failed talks.
