Donald Trump Says US, Canada May Not Reach A Trade Deal: 'No Luck With Them'

Last Updated:July 25, 2025, 20:55 IST

Donald Trump suggested the US might impose tariffs on Canadian goods if no trade deal is reached.

US President Donald Trump. (AP file photo)

The United States may not reach a negotiated trade agreement with Canada, US President Donald Trump said, indicating that his administration could instead impose tariffs without further talks.

“We haven’t really had a lot of luck with Canada," Donald Trump said, adding, “I think Canada could be one where there’s just a tariff, not really a negotiation." In contrast, Donald Trump said his administration was making headway with other key trading partners as he noted that discussions with the European Union were moving towards a deal and that an accord with China had already been “solidified."

Donald Trump’s remarks came just a day after Canada’s minister for trade with the US Dominic LeBlanc said he was “encouraged" following a meeting with US Commerce Secretary Howard Lutnick. Dominic LeBlanc described the ongoing closed-door talks as “complex" and said a resolution before the August 1 deadline was unlikely.

What Happens If US And Canada Don’t Strike A Trade Deal?

Donald Trump has previously warned that if no agreement is reached by August 1, the US will impose a 35% tariff on Canadian goods entering the country. Those tariffs could increase if Canada retaliates. The planned duties would apply to goods not already covered under the countries’ existing free trade agreement which Donald Trump signed during his first term and has said he intends to renegotiate next year.

Canada is already subject to several US tariffs imposed under Donald Trump, including on steel, aluminum and automobiles. Copper exports are also expected to be hit by additional duties starting August 1.

Washington D.C., United States of America (USA)

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