Canadian exports face 50 per cent tariff threat as Carney speaks with Trump

Prime Minister Mark Carney spoke by phone with U.S. President Donald Trump on Monday evening as Canada faces the prospect of 50 per cent tariffs on some exports. Neither government has released details of the discussion.

The tariff deadline is now less than 24 hours away. The federal government has indicated that Ottawa could respond with countermeasures if the U.S. tariffs take effect, raising the possibility of further escalation in the Canada-U.S. trade dispute.

The new U.S. tariffs are expected to affect more than $20 billion worth of Canadian exports. Reports citing sources familiar with the talks say the Trump administration is not prepared to provide additional exemptions from higher tariffs on automobiles.

There is also a possibility that Washington could extend the tariff deadline if negotiations do not produce an agreement by Tuesday night, according to reports. No extension has been confirmed.