One of the key cabinet members of U.S. President Donald Trump has shown dissatisfaction with the current trade agreement being discussed with Canada and is advocating for amendments as the crucial trade negotiations near their conclusion in Washington, according to information obtained by CBC News.
Four sources familiar with the private discussions revealed that U.S. Commerce Secretary Howard Lutnick, a prominent figure in the economic policy of the Trump administration with a longstanding relationship with the president, expressed belief that the United States could achieve a more favorable deal than the one proposed since Tuesday.
These sources mentioned that Lutnick specifically objected to the potential reduction of sectoral tariffs, notably the proposal to lower the tariff on Canadian-made cars from 25% to 15%. Lutnick argued that such a reduction would hinder efforts to promote domestic production within the U.S.
The sources, who were briefed on the talks by Thursday night, spoke on condition of anonymity as they were not authorized to disclose details of the discussions. They clarified that while Lutnick’s involvement did not threaten the deal, his discontent with the agreement contrasted with the positive outlook conveyed by Trump, Prime Minister Mark Carney, and the respective trade negotiators of both countries to the public recently.
“We’re really happy with where we ended up,” stated U.S. Trade Representative Jamieson Greer to reporters on Wednesday. “We feel confident that we’ve reached an agreement that will not only continue to protect American workers, American jobs, supply chains, but really strengthen the American economy.”
A fifth source close to the negotiations noted that Lutnick has been actively participating and offering input to the negotiating team, describing him as tough but engaging.
In response to CBC News’ inquiry, the U.S. Department of Commerce, in a statement after the article’s publication, did not refute Lutnick’s disappointment with the terms. An email on Friday evening mentioned that the secretary has been closely collaborating with Greer, and their team has been directly engaged in negotiations with their Canadian counterparts.
The email further stated, “These unnamed sources may not realize that President Trump, Secretary Lutnick, and the trade team always strive to secure the best deal for the United States.”
CBC News reached out to the White House, Greer’s office, and Canada’s trade minister for comment as well.
Both Canada and the United States have been working towards finalizing a trade deal before the expiration of Trump’s three-day suspension on new tariffs on various Canadian goods at 12:01 a.m. ET on Saturday.