▲ U.S. President Donald Trump and Canadian Prime Minister Mark Carney
U.S. President Donald Trump has played down the possibility of withdrawing from the United States-Mexico-Canada Agreement (USMCA), suggesting that a trade deal with Canada could be reached soon amid trade tensions.
According to a Bloomberg report on the 13th, local time, President Trump met with reporters the previous day following a meeting with Irish Prime Minister Micheál Martin in Dublin, Ireland. When asked if the U.S. was considering withdrawing from the USMCA, he said, "We are doing very well," adding, "We are going to have a great relationship with Mexico, and we actually have a good relationship with Canada."
He went on to say that an agreement with Canada could be reached "quite soon," though he did not provide specific details such as whether official negotiations between the two countries had resumed.
However, President Trump raised the removal of tariffs as a condition for a deal, claiming that Canada has been treating American farmers unfairly.
"Canada has to treat our farmers better," he asserted. "They shouldn't be putting tariffs on our farmers."
The U.S. and Canada have escalated tensions by exchanging consecutive tariffs and import restrictions after trade negotiations broke down at the last minute last month.
President Trump imposed a 50% tariff on 20 billion dollars worth of Canadian products, claiming that U.S. exports of automobiles, dairy products, and alcoholic beverages were being discriminated against. In response, Canada imposed retaliatory tariffs on about 20 billion dollars worth of U.S. products on the 8th.
Subsequently, the U.S. introduced additional measures to ban the import of Canadian alcoholic beverages, certain dairy products, and motorcycles in retaliation against Canada's tariffs.
The import ban measures are scheduled to take effect on the 29th.
As the conflict between the two nations continues, Canada is accelerating efforts to expand relations with other trading partners, such as the European Union (EU), to reduce its economic dependence on the United States.
The Wall Street Journal (WSJ) reported that Canadian Prime Minister Mark Carney is considering options for Canada to become an "associate member" of the EU to drastically strengthen ties with the bloc.
Prime Minister Carney has reportedly discussed the matter with leaders of major European countries, including France, Germany, and Italy, over the past few months.
As a result, the WSJ noted that discussions have reached a stage of exploring ways for Canada to gain unofficial access to the European market in strategic supply chain sectors such as critical minerals and defense.
However, this does not mean that Canada has closed the door on its relationship with the United States.
Prime Minister Carney recently stated, "When the U.S. is ready, we are ready to sit down and conclude that agreement."
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