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Carney's top aide joins Canada-U.S. trade talks in Washington
Carney's top aide joins Canada-U.S. trade talks in Washington

Globe and Mail

time2 hours ago

  • Business
  • Globe and Mail

Carney's top aide joins Canada-U.S. trade talks in Washington

Prime Minister Mark Carney's top aide has joined Canada-U.S. negotiations in Washington as the two countries try to strike a deal to end a five-month trade war. The Prime Minister's Office said Marc-André Blanchard, chief of staff to Mr. Carney, has headed to the U.S. Capitol with officials including Intergovernmental Affairs Minister Dominic LeBlanc who has travelled there to talk with members of Donald Trump's administration. It's the third time in recent weeks that Mr. Blanchard has joined the trade talks in Washington. Mr. Trump has threatened to raise tariffs on Canadian goods to 35 per cent from 25 per cent Aug. 1 if a deal is not reached. Both he and Mr. Carney have signaled that a deal by Aug. 1 may not be possible. Since returning to office earlier this year, Mr. Trump has hit Canada with a string of tariffs: 50 per cent on steel and aluminum; 25 per cent on autos; and 25 per cent on any goods traded outside the United States-Mexico-Canada Agreement (USMCA, with the exception of oil, gas and potash, at 10 per cent. On Sunday, the European Union became the latest U.S. trade partner to reach an agreement with Mr. Trump that locks them into higher tariffs in order to avoid worse threats from the protectionist President. The EU accepted a broad-based 15-per-cent tariff, with carve-outs for certain industries, and agreed to purchase US$750-billion worth of U.S. energy and invest around US$600-billion in the United States. The agreement left tariffs of 50 per cent in place on steel and aluminum – although EU officials suggested there may be quotas that lower the tariff rate on the metals. Politicians, companies and investors in Canada have been watching the progress of the EU deal closely as a bellwether for a possible U.S. agreement with Canada. Like Japan – which agreed to a 15-per-cent baseline U.S. tariff last week – the EU is a major U.S. ally and significant trading partner. The EU's trade deal with the U.S. isn't a blueprint for Canada, Carney says Asked about the EU deal on Monday, Mr. Carney reiterated that Canada will likely face some level of U.S. tariffs going forward, even if Ottawa and Washington can strike a deal, either before or after the Aug. 1 deadline set by Mr. Trump. But he said that Canada is in a different position than other U.S. trading partners as it enters an 'intense phase' of negotiations. 'There are similarities. There are differences. One is geographic proximity,' Mr. Carney told reporters at a press conference in Prince Edward Island. The deal with the EU is the sixth trade agreement Mr. Trump has reached in recent months as he has sought to remake the global trading system with the highest tariffs since the 1930s. He has also made deals with Britain, Japan, Indonesia, Vietnam and the Philippines. All the agreements left baseline U.S. tariffs in place, ranging from 10 per cent to 20 per cent – a far higher level of tariffs than at the start of the year, but lower than Mr. Trump had threatened. Sectoral tariffs were also left in place, although they were diluted in some cases, with both Japan and the EU securing 15-per-cent auto tariffs, rather than the 25 per cent applied to other countries. Opinion: Canada must avoid rushing into trade shakedown Some details remain unclear as these are not formal trade agreements, but rather handshake deals. As these deals have rolled out, Canada remains in a relatively privileged position when it comes to access to the U.S. market. As with every other country, it has been hit with industry-specific tariffs on steel, aluminum and automobiles. But the blanket 25-per-cent tariff that Mr. Trump imposed on Canadian goods back in March has been watered down by an exemption for all goods that comply with rules of origin in the United States-Mexico-Canada Agreement, the continental free-trade pact sometimes known in Canada as CUSMA. That has allowed the vast majority of Canadian exports to continue entering the U.S. tariff-free. In May, 90 per cent of Canadian goods entered the U.S. without paying duties, according to U.S. Census Bureau data, through some combination of USMCA exemption and other tariff-mitigation strategies. With reports from Mark Rendell

Canada weighing recognition of Palestinian statehood: source
Canada weighing recognition of Palestinian statehood: source

CBC

time2 hours ago

  • Politics
  • CBC

Canada weighing recognition of Palestinian statehood: source

Carney expected to meet with cabinet Wednesday to discuss Middle East crisis The Canadian government is weighing whether to recognize Palestinian statehood, and whether that recognition would come with conditions, according to a government source. No decision has been made yet, the source says, but Prime Minister Mark Carney is expected to hold a virtual cabinet meeting Wednesday afternoon, at which time the situation in the Middle East will be discussed. British Prime Minister Keir Starmer said Tuesday the U.K. will recognize a Palestinian state in September unless Israel agrees to a ceasefire in Gaza, allows the UN to bring in aid and takes other steps toward long-term peace. The two leaders spoke Tuesday, according to Carney's office, about the humanitarian crisis in Gaza and the U.K.'s statement on the recognition of a Palestinian state. WATCH | Starmer says U.K. plans to recognize Palestinian state: Media Video | U.K. will recognize Palestinian statehood by fall unless Israel takes 'substantive steps' on Gaza, PM says Caption: British Prime Minister Keir Starmer, speaking Tuesday from London as his government faced protests over the humanitarian crisis in Gaza, said the U.K's goal remains a 'safe and secure Israel' alongside a 'viable and sovereign Palestinian state.' Open full embed in new tab Loading external pages may require significantly more data usage than loading CBC Lite story pages. France announced a similar plan last week, but without conditions. French President Emmanuel Macron said Friday there was "no alternative" to recognizing the state of Palestine and intends to do so at the UN General Assembly in September. Asked last week whether he would follow France, Carney said Canada will continue to support a two-state solution with "a free and viable Palestine living in peace and side-by-side in peace and security with Israel." Days later, Ottawa announced $10 million in funding for the Palestinian Authority's preparations to lead a globally recognized country that includes Gaza and the West Bank. The federal government is also adding $30 million to its humanitarian funding for desperate Palestinians in the Gaza Strip. Trump says recognition rewards Hamas Starmer, who is under mounting domestic pressure over the issue as scenes of hunger in Gaza horrify many Britons, convened a rare summertime cabinet meeting to discuss the situation in Gaza. It came after he discussed the crisis with U.S. President Donald Trump during a meeting in Scotland on Monday. Trump told reporters he didn't mind Starmer "taking a position" on statehood. But he told reporters on board Air Force One travelling back to the U.S. that recognizing a Palestinian state would reward Palestinian militant group Hamas. "You're rewarding Hamas if you do that. I don't think they should be rewarded," he said. Starmer said Tuesday that Britain will recognize a Palestinian state before the United Nations General Assembly "unless the Israeli government takes substantive steps to end the appalling situation in Gaza, agree to a ceasefire and commit to a long-term, sustainable peace, reviving the prospect of a two-state solution." "And this includes allowing the UN to restart the supply of aid, and making clear there will be no annexations in the West Bank," he said. Israel's Foreign Ministry rejects British move Israeli Prime Minister Netanyahu rejects the two-state solution on both nationalistic and security grounds. "The shift in the British government's position at this time, following the French move and internal political pressures, constitutes a reward for Hamas and harms efforts to achieve a ceasefire in Gaza and a framework for the release of hostages," Israel's Foreign Ministry said on X. Starmer also repeated U.K. demands that Hamas release all the hostages it holds, agree to a ceasefire, disarm and "accept that they will play no part in the government of Gaza." In a televised statement, he said that his government will assess in September "how far the parties have met these steps" before making a final decision on recognition. Britain has long supported the idea of an independent Palestinian state existing alongside Israel, but has said recognition should come as part of a negotiated two-state solution to the conflict. But Starmer said Tuesday Britain was willing to take the step because "the very idea of a two-state solution is reducing and feels further away today than it has for many years." He said that despite the set of conditions he set out, Britain believes that "statehood is the inalienable right of the Palestinian people." Announcement follows France France would become the first among the G7 to recognize a Palestinian state. More than 140 countries recognize a Palestinian state, including a dozen in Europe. As with France, British recognition would be largely symbolic, but could increase diplomatic pressure for an end to the conflict — especially as Starmer appears to have the tacit approval of Trump. Both Israel and Hamas are facing pressure at home and abroad to reach a deal following almost two years of war, with the humanitarian situation inside Gaza deteriorating and Israelis worried about the conditions in which hostages are being held. Netanyahu condemned Macron's decision, saying that such a move "rewards terror and risks creating another Iranian proxy."

PM Carney cabinet to meet amid Palestine statehood talk, U.S. trade discussions
PM Carney cabinet to meet amid Palestine statehood talk, U.S. trade discussions

Hamilton Spectator

time3 hours ago

  • Politics
  • Hamilton Spectator

PM Carney cabinet to meet amid Palestine statehood talk, U.S. trade discussions

OTTAWA - Prime Minister Mark Carney is meeting virtually with his cabinet today to discuss the state of trade negotiations with the U.S. and the situation in the Middle East. The meeting, set for 2 p.m. ET., comes as trade talks escalate and as Canada's closest peers move toward recognizing a Palestinian state. Dominic LeBlanc, the minister responsible for Canada-U.S. trade, is in Washington today meeting with U.S. officials. Carney said Monday that Canada's negotiations with the United States are in an 'intense phase' after President Donald Trump clinched a critical agreement with the European Union. Trump told reporters last week that Canada wasn't a priority ahead of his Aug. 1 deadline to make trade deals. Ministers are also expected to discuss the situation in the Middle East. Carney spoke Tuesday with British Prime Minister Keir Starmer after Starmer said the U.K. would officially recognize a Palestinian state if Israel does not implement a ceasefire and drastically scale up aid in Gaza, where numerous humanitarian groups say starvation is taking place. Canada co-signed a statement with allied countries Tuesday to 'express the willingness … of our countries to recognize the State of Palestine, as an essential step towards the two-state solution, and invite all countries that have not done so to join this call.' The statement included France, Australia and New Zealand; France announced last week it will recognize a Palestinian state. The statement came out after a major conference at the United Nations on the two-state solution, which Israel and the U.S. boycotted. Jewish advocacy group B'nai Brith Canada criticized Canada's stance at that conference, which it said 'promoted a one-sided narrative that excused terrorism, legitimized authoritarian regimes, and obstructed any serious path to peace.' The group said remarks about Israeli policies driving violence by Palestinians were inappropriate and Foreign Affairs Minister Anita Anand's comments about the conflict being rooted in duelling narratives were 'deeply troubling.' Advocates for a Palestinian state say Israel is trying to block all routes to self-determination, noting that Israeli cabinet ministers have talked openly of ethnically cleansing the territories that Israel occupies. 'We are failing the test set by us to prevent mass humanitarian tragedies,' Liberal MP Will Greaves said Sunday in a video posted on social media in which he endorsed Palestinian statehood. 'Crimes against civilians, ethnic cleansing, war crimes and acts of genocide are never justified — nor is criminal impunity for the leaders who order or permit such acts to occur.' Canada has said it wants the Palestinian Authority to govern both the West Bank and Gaza, but only after the organization undertakes deep reforms. The Palestinian Authority is widely accused of corruption and hasn't held elections since 2006. Ottawa pledged $10 million this week to 'accelerate reform and capacity-building for the Palestinian Authority.' This report by The Canadian Press was first published July 30, 2025. Error! Sorry, there was an error processing your request. There was a problem with the recaptcha. Please try again. You may unsubscribe at any time. By signing up, you agree to our terms of use and privacy policy . This site is protected by reCAPTCHA and the Google privacy policy and terms of service apply. Want more of the latest from us? Sign up for more at our newsletter page .

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