Canada demands zero tariffs or no deal. Talks hit a wall as tariffs bite hard.

“If we get anything more than zero tariffs, then the only thing we negotiated was the price of our humiliation.”

The U.S. imposed 35% tariffs on Canadian steel, dairy, and electric vehicles. Canadian trade negotiators have expressed frustration and walked out of talks. Officials insist on zero tariffs but quietly discuss exemptions.

  • Trade talks have had repeated meetings and pauses

  • Public statements stress defending Canadian dignity

  • Behind closed doors, discussions focus on managing damage

  • Ottawa is preparing domestic policies to soften economic impact

Canada’s government holds firm on zero tariffs but acknowledges challenges ahead.

Carney said no deal is better than a bad deal.
https://www.bnnbloomberg.ca/business/economics/2025/07/22/prime-minister-carney-to-update-premiers-on-us-trade-talks-as-aug-1-deadline-looms/

U.S. Trade Representative Jamieson Greer said tariffs are “unlikely to be reduced.”
https://www.reuters.com/business/latest-trump-tariffs-unlikely-budge-top-negotiator-says-2025-08-03/