US-Canada trade talks collapsed over a range of issues where the written text of a potential deal was at odds with what the Canadian side believed it had agreed to, Prime Minister Mark Carney's top US envoy says. Mark Wiseman, Canada's ambassador to the US, said in an interview Sunday that there was no one issue that led talks to collapse late Friday, a development that triggered new tariffs and a potentially escalating trade fight. Wiseman likened the negotiations to a handshake deal to buy a house, only for the prospective buyer to learn appliances weren't included, the furnace had no warranty and neither the garage nor yard is on the same property, and ultimately walk away. The US proceeded to apply a 50% tariff on about $20 billion in Canadian goods, and Carney announced retaliation that will take effect on Sept. 8. Wiseman said Canada needed medium and heavy duty vehicles to be included in tariff relief, an issue affecting General Motors Co. and Ford Motor Co., two US automakers operating in Canada, but added that this was not why the deal fell apart. Carney also said the US demanded that Canada constrain its ability to do separate trade deals with other nations, and that the administration was looking to curtail the use of French, one of Canada's two official languages, in digital services and US-based streaming services. Wiseman declined to say whether Canada was open to restarting talks, but said communications with the administration continue and that the talks were cordial throughout.
Ford Motor CompanyUS 50% tariff on Canadian goods and potential retaliation affect Ford's Canadian operations.
General Motors CompanyUS 50% tariff on Canadian goods and potential retaliation affect GM's Canadian operations.
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