President Donald Trump appeared to adopt a more conciliatory tone toward Canada as the two countries say they will hold trade negotiations. The discussion comes as U.S. economic concerns have played a key role in the buildup to Tuesday's midterms. Canadian Prime Minister Mark Carney said Sunday in a post on X that he had spoken with the president about ending their long-running trade dispute, with officials from both countries preparing to continue negotiations.
Trump later confirmed the conversation, suggesting an agreement could be within reach after months of tariffs and disagreements that had strained relations between the neighboring countries. The potential talks come at a significant moment for the president. Americans have been heading to the polls in record numbers ahead of Election Day on November 3, and the cost of living consistently ranks among their top concerns, while Trump's handling of the economy has come under increasing scrutiny.
His tariffs on Canadian goods, which he says are intended to protect American industries and secure better trade terms, have also caused problems for U.S. businesses that depend on cross-border trade. Carney said he had a productive conversation with Trump. He said the two countries had discussed an agreement that would support jobs, improve affordability and protect Canada's sovereignty.
"Our teams will now be working in the coming weeks to deliver that outcome," Carney said in the post. Speaking to reporters in Iowa on Sunday, Trump appeared similarly optimistic. "We have the concept of a very good deal with Canada," Trump said.
The president suggested an agreement would benefit American farmers and raised the possibility of reviving the Keystone XL oil pipeline, which former President Joe Biden blocked in 2021. Despite the quick back-and-forth in the media, no terms of an agreement had been announced and negotiations were expected to continue beyond Tuesday's election. The open dialogue marked a departure from the confrontation that has dominated relations between Washington and Ottawa this year.
Canada walked away from negotiations in August after rejecting American demands, which Carney said would threaten Canadian sovereignty, French-language protections and the country's car manufacturing industry. Trump then imposed tariffs of 50 percent on roughly $20 billion worth of Canadian goods, prompting retaliatory measures from Ottawa. The dispute had consequences on both sides of the border.
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