LeBlanc returns to Washington as clock ticks down on new tariff deadline

Canada’s top trade negotiators are set to meet with their U.S. counterpart in Washington on Thursday as the two sides work to close a deal meant to offer some relief to Ottawa from U.S. President Donald Trump’s tariffs in exchange for a suite of Canadian concessions.

Dominic LeBlanc, the Minister responsible for Canada-U.S. trade, and chief negotiator Janice Charette will sit down with U.S. Trade Representative Jamieson Greer at the latter’s office in the Winder Building near the White House on Thursday afternoon. Mr. LeBlanc had returned from Washington to Ottawa on Wednesday after his last meeting with Mr. Greer. He will return to Washington on Thursday. Ms. Charette has been effectively living in the U.S. capital for the better part of a month as the two sides worked feverishly for a deal.

Mr. Trump announced that the countries had reached an agreement on Tuesday night, less than two hours before he was set to hammer Canada with 50-per-cent tariffs on US$20-billion worth of goods, under Section 338 of the Smoot-Hawley Tariff Act. But Mr. Carney told provincial premiers on Wednesday that crucial details – such as the amount of tariff relief Canada will receive – are still being haggled over.

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The Globe and Mail has reported that Canada was hoping to trade concessions on a long list of U.S. demands for reduced tariffs under Section 232 of the Trade Expansion Act on autos, steel, aluminum and forestry, which Mr. Trump imposed last year, and for the President not to implement his latest threatened Smoot-Hawley tariffs. Mr. Trump has “paused” those latest tariffs until 12:01 a.m. on Saturday while the two sides try to close a deal.

In exchange, the U.S. demanded Canada end provincial bans on U.S. alcohol and Buy Canadian procurement policies, lift retaliatory tariffs on U.S. autos, and change how licences in the dairy supply-management system are allocated.

Washington has also made several defence and security-related demands, including that Canada give the U.S. the right of first refusal on buying critical minerals, complete a deal to buy F-35 fighter jets, buy American military equipment to join the Golden Dome missile defence shield, and export more oil to the U.S.

Foreign Affairs Minister Anita Anand was set on Thursday to meet in Washington with U.S. Secretary of State Marco Rubio “to discuss continental security and other global priorities,” according to her office.

Premiers Scott Moe of Saskatchewan and Tim Houston of Nova Scotia said on Wednesday that Mr. Carney had asked the provinces to put U.S. booze back on shelves as part of a deal. Both premiers indicated that negotiators were still bargaining over Section 232 relief, Canada’s central demand in the deal.

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On autos, The Globe has reported, a major sticking point is whether only the value of U.S. content in Canadian-made cars will be exempted from Mr. Trump’s tariffs or whether the value of Canadian- and Mexican-made content will be exempted as well.

The U.S. has also sought to exclude forestry entirely from the deal, making it another stumbling block.

Both Ontario Premier Doug Ford and B.C. Premier David Eby have been vocal proponents of the alcohol bans, so their co-operation would be needed to seal that aspect of the deal.

Mr. Trump this week has said that, on Canadian tariffs, he would be “reducing it a little bit” and “may bring some of the tariffs down to a level where other countries are.”