Canada and US Set to Revisit Trade Pact Amid Strategic Discussions

Canada and the United States are preparing to revisit their trade agreement, with discussions set to begin in January. The USMCA, negotiated in 2016, is due for review in 2026. Key issues include tariffs and trade policies affecting sectors like steel, aluminum, and digital services.

Canada and the United States are scheduled to commence formal discussions on revising their trade agreement in January, according to the office of Canadian Prime Minister Mark Carney. This move comes as the United States-Mexico-Canada trade pact (USMCA) approaches its 2026 review date.

Dominic LeBlanc, Canada's lead on US-Canada trade relations, is expected to engage with US counterparts, with potential impacts on trade sectors such as steel, aluminum, and digital services. The discussions highlight ongoing trade irritants and the future of critical minerals and metals supply.

Prime Minister Carney emphasized the significance of US access to Canadian resources but noted this opportunity may not be assured. The talks will delve into broader discussions on sectoral tariff relief and policies that have been contentious in past negotiations.

(With inputs from agencies.)