Wiseman Says Sectoral Tariffs Drive Cusma Trade Deal Deadline Talks

Wiseman Says Sectoral Tariffs Drive Cusma Trade Deal Deadline Talks

Canadian ambassador to the U.S. Mark Wiseman said Monday in Toronto that the cusma trade deal deadline is not the main pressure point in Canada-U.S. talks. Wiseman said the focus is on sectoral tariffs tied to steel, aluminum and automobiles, and on finding a way through them before the July 1 review process begins.

“Those tariffs are the ones that are biting in terms of impact on the Canadian economy, Canadian business, Canadian workers and those sectoral tariffs are sitting outside, and are arguably in violation of, CUSMA,” Wiseman said. He said most Canadian exports remain compliant with CUSMA and exempt from Donald Trump’s tariffs, while some sectors remain subject to Section 232 measures.

Toronto remarks from Mark Wiseman

Wiseman said the negotiating team led by Dominic LeBlanc and Janice Charette is trying to resolve the sectoral 232 tariffs first. “The focus of the negotiating team led by Minister (of Canada-U.S. Trade Dominic) LeBlanc and our chief negotiator (Janice Charette), the focus for us is trying to find a way through those sectoral 232 tariffs. That’s the issue. So, we can take a deep breath on the CUSMA review,” he said.

He added that the July 1 date is the start of a renewal process, not a one-day decision on the trade pact. “We’re not falling off of (a) cliff on July 1,” Wiseman said.

Section 232 tariffs on Canada

The tariff dispute now centers on Canadian steel, aluminum and automobiles, sectors Wiseman said are feeling the strain. He said the default position on those tariffs is that they stay in place, even as negotiators work on the broader trade relationship.

Earlier this month, the White House said Trump signed a proclamation amending Section 232 national security tariffs on some aluminum, steel and copper imports. Wiseman said the CUSMA deadline matters because renewal would extend the agreement from 2036 to 2042, but he also stressed that if the agreement is not renewed, it remains in force until 2036.

What July 1 changes

Wiseman said the Canada-U.S.-Mexico agreement, signed in 2020 as a 16-year deal, expires at 11.59 p.m. on June 30, 2036. The July 1 review date begins the renewal process for that agreement, while the sectoral tariffs remain the immediate issue for Canadian negotiators and for businesses and workers exposed to them.

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