Carney and Trump talk trade fairness and sectoral deals
Oct 15, 2025
Making his second White House visit in five months, Mark Carney sought relief from U.S. tariffs on steel, aluminum and autos. Trump reassured him Canada would “walk away very happy” but stopped short of committing to renegotiate the USMCA, suggesting bilateral deals could be “better for the individual countries”. Canadian trade minister Dominic LeBlanc said the talks were positive but no breakthroughs were reached (Reuters).
Later, Carney told reporters that sectoral agreements being negotiated with Washington, covering strategic industries like steel, aluminum and autos, would likely persist even if the USMCA undergoes its scheduled 2026 review. He acknowledged that 85% of Canadian exports already enter the U.S. tariff free but noted “damaging” duties remain on these key sectors. The back-to-back statements highlight Ottawa’s strategy of salvaging targeted wins while preparing for the possibility that Trump scraps or rewrites the continental trade deal.
Our Take
Pragmatic sector-by-sector accords may be more feasible than a broad USMCA-style deal and can still deliver important tariff relief if handled well. Carney’s focus on steel, aluminum and autos is likely the right call. But we obviously can’t let Trump’s talk of “fairness” lull us into complacency: one moment he’s touting cooperation, the next he’s openly ditching the USMCA. The best thing Canada can do is continue strengthening its own industries and domestic supply chains, to build bargaining power for whatever trade regime comes next.
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