2 weeks ago
Canada Must End Retaliation to Avoid New Tariffs, Greer Says
The United States and Canada are neighbors who buy and sell lots of things to each other.
Sometimes, when countries disagree about trade, they add extra fees called tariffs to things coming from other countries.
Earlier, President Donald Trump put tariffs on Canadian steel, aluminum, and cars.
To show they were not happy, some Canadian provinces stopped selling American alcohol.
Now, the United States says that if Canada does not undo those moves, it will put big new fees on even more Canadian products.
The person in charge of US trade, Jamieson Greer, said Canada needs to end its retaliation before a deadline on August 19.
Those big new fees could make things like food and other goods more expensive.
Canada and the US are talking to try to fix their disagreement.
Some Canadian leaders say they will never change how they protect their dairy farmers, while another leader says they could discuss it in exchange for something else.
US Trade Representative Jamieson Greer said Canada must scrap its retaliatory trade measures, including provincial bans on American alcohol, to avoid new US tariffs.
The US has threatened 50% duties on an additional $20 billion of Canadian goods starting Aug. 19.
Greer also cited Canadian dairy protectionism and procurement rules as issues that must be resolved or have a pathway forward.
Quebec Economy Minister Bernard Drainville said there is "space for discussion" on dairy quotas, but any concession would require gains for the province in return.
Quebec Premier Christine Frechette said there would be "no compromise" on supply management, which Prime Minister Mark Carney said is "not on the table," while BC Premier David Eby called for resolution on softwood lumber tariffs.
- Who
- US Trade Representative Jamieson Greer, President Donald Trump, Canadian Prime Minister Mark Carney, Quebec Premier Christine Frechette, Quebec Economy Minister Bernard Drainville, and British Columbia Premier David Eby
- What
- The US threatens new 50% tariffs on an additional $20 billion of Canadian goods unless Canada ends its retaliatory trade measures, including provincial bans on US alcohol.
- Where
- US-Canada trade talks in Washington; Greer spoke at the Iowa State Fair
- When
- Announced Friday, ahead of the Aug. 19 US deadline for the new tariffs
- Why
- The US says the tariff threat is a response to Canadian retaliation against earlier US tariffs on steel, aluminum and autos.
Canadian Position
US Position
Retaliatory measures and provincial alcohol bans
Canadian Position
Provincial bans on US alcohol were retaliation for US tariffs on steel, aluminum and autos imposed last year.
US Position
Canada must scrap its retaliatory measures, including provincial alcohol bans, or face new tariffs; any resolution must address all the issues or a pathway forward for them.
Dairy supply management and quotas
Canadian Position
Prime Minister Mark Carney and Quebec Premier Christine Frechette say supply management is not on the table and there will be "no compromise"; Economy Minister Bernard Drainville says quota allocation can be discussed but not for free.
US Position
Canadian dairy protectionism and restrictive dairy quotas must be addressed as part of any resolution, a long-standing US grievance.
Softwood lumber trade
Canadian Position
British Columbia Premier David Eby says US import taxes on his province's lumber exports "need to be addressed" and he hopes for resolution.
US Position
The decades-old lumber dispute has escalated under President Trump, who has added tariffs and said "we don't need their lumber."
Key facts
- US tariff threat
- 50% duties on an additional $20 billion of goods imported from Canada
- Deadline
- Aug. 19
- US trade official
- Jamieson Greer, US Trade Representative
- Key Canadian officials in Washington
- Dominic LeBlanc (minister responsible for US trade) and Janice Charette (chief trade negotiator)
- Issues cited by US
- Provincial bans on US alcohol, dairy protectionism, procurement rules
- Other dispute
- US import taxes on British Columbia softwood lumber exports
- Talks status
- Described as "constructive" by Greer, addressing issues going back decades
Quotes
Jamieson Greer
U.S. Trade Representative
“For us, this is not a trade war. We have domestic supply chains we’re trying to protect and support.”
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“Any potential resolution has to include all of these, or a pathway forward for them.”
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Bernard Drainville
Quebec Economy Minister
“I think we can discuss it, but we can’t do it for free. There have to be gains elsewhere.”
livemint.com
Sources
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