By Karim Hammam
The Trump administration has softened its combative stance toward Canada on trade just days before the U.S. midterm elections, as tariff-driven inflation emerges as a top voter concern. Canadian Prime Minister Mark Carney said Monday that trade talks with Washington have seen a “slight intensification” in recent days.
Trade talks intensify slightly
President Donald Trump similarly dialed back his harsher rhetoric over the weekend, telling reporters a potential trade deal with Canada would be “settled pretty soon” and claiming Canada is “willing to give us anything at this moment.” Carney countered that any progress reflects the United States moving closer to Canada’s position. The two leaders’ remarks follow a unilateral U.S. announcement last week that it would lift some tariffs on Canadian imports and replace them with others.
Tariff adjustments and political pressure
The tariff shift came at the urging of Republican Sen. Susan Collins, who faces a tight re-election race in Maine. Control of the Senate will be decided Tuesday in several close contests, many in Canadian border states where polls show Trump’s tariffs are broadly unpopular. Candidates in Alaska and Michigan, including Republican nominee Mike Rogers, have called for an end to the trade war, citing deep economic ties with Canada.
Divergent assessments on deal progress
White House economic adviser Kevin Hassett said on Fox News that the U.S. and Canada are “very close to finally having a deal,” but subsequent statements from both sides did not support such optimism. Carney emphasized that Canada maintains clear “bottom lines” and “red lines” that prevented an agreement in August, when advanced talks collapsed and the U.S. imposed 50% tariffs on hundreds of Canadian import categories, prompting reciprocal measures from Ottawa.
