Janice Charette, Canada’s chief trade negotiator to the United States, departs a meeting in Washington, D.C., on Tuesday alongside Dominic LeBlanc, the minister responsible for Canada-U.S. relations.
Canada’s top trade negotiator has warned her American counterparts that if the White House imposes new tariffs on Aug. 19, the move would represent a “cliff” that risks halting negotiations with the U.S.
Janice Charette delivered the message in a meeting last week with United States Trade Representative Jamieson Greer, according to five sources briefed on the discussions.
Four of the sources said Ms. Charette cautioned the Americans on the public mood in Canada should President Donald Trump make good on his threat to impose the new tariffs.
Sources said she warned the officials that Ottawa would not be able to rein in or control the public or premiers’ reactions and the federal government will have lost the room to negotiate with the Americans.
The Globe and Mail is not identifying the sources, who were not authorized to disclose details of their private briefings on the sensitive trade talks.
The tension centers on a threat by U.S. President Donald Trump to impose a massive 50% tariff on nearly $20 billion worth of Canadian goods beginning August 19, 2026. The broad levies would target roughly 5% of Canada’s exports to the U.S., affecting items ranging from wine and steel to cement and hockey sticks. Unlike standard trade disputes, Washington has stated that goods typically protected under the U.S.-Mexico-Canada Agreement (CUSMA/KUSMA) will not be exempted.
The Trump administration initiated the deadline in retaliation against Canadian trade policies. Officials are leveraging the tariff threat to force Ottawa into resolving several key friction points:
The Canadian Demands: Led by Trade Minister Dominic LeBlanc and Prime Minister Mark Carney, Canadian officials are holding a firm line against one-sided concessions. Ottawa is demanding a total reversal of the August 19 tariffs, a reduction in existing U.S. sectoral tariffs on steel and aluminum, and a formal commitment to extend the CUSMA trade pact.
The U.S. Demands: Washington wants an end to provincial bans on American alcohol, restructuring of Canada’s dairy supply management quotas, and the removal of Canadian retaliatory tariffs on U.S. motor vehicles.
With the deadline just days away, a flurry of closed-door diplomatic meetings has taken place in Washington, D.C. between Minister LeBlanc and U.S. Trade Representative Jamieson Greer. To avoid a complete freeze in bilateral trade relations, negotiators are frantically drafting a joint, multi-sector proposal. According to sources briefed by CBC News, the goal is to place a compromised layout on President Trump’s desk by Monday, August 17—giving the White House 24 hours to review the deal and potentially avert a devastating trade war.
The standoff over the August 19 tariff deadline represents a high-stakes game of economic brinkmanship that extends far beyond immediate duties. For Canada, walking away from trade talks serves as a defensive maneuver to prevent giving up long-term concessions under extreme pressure. Meanwhile, the U.S. administration is utilizing targeted economic leverage to force structural changes to long-standing trade frameworks.