Carney says he and Trump have agreed to ‘intensify’ trade negotiations

What the report says

Al Jazeera, citing Reuters, reported that Canadian Prime Minister Mark Carney said he and United States President Donald Trump agreed to step up trade talks after Trump threatened new tariffs on Canadian goods. Carney spoke to reporters on Tuesday, July 21, 2026, following a call with Trump, saying the immediate goal was a comprehensive agreement while warning that Canada would weigh all options if the duties proceed.

The dispute follows Trump’s Monday announcement of planned 50 percent tariffs on a broad list of Canadian imports, which he framed as a response to alleged discrimination against US-made cars, alcohol and dairy products. The duties are scheduled to start in 30 days and would cover products including dairy, wine, cement, hockey equipment, furniture, clothing and other goods. The US Trade Representative’s office said the measures would affect nearly $20bn in Canadian imports, about 5.2 percent of US goods imports from Canada in 2025.

The report said tensions between Ottawa and Washington have been strained by earlier tariffs, Trump’s remarks about Canada becoming the 51st state, disagreements over a bridge project and comments about wildfire smoke. Canadian provinces have also restricted or banned US alcohol sales in response to previous US tariffs, and Carney said those measures should be lifted only as part of a wider trade deal.

Provincial leaders and opposition Conservatives criticized the latest tariff threat, though responses differed on tactics. Ontario Premier Doug Ford urged a dollar-for-dollar response, while Saskatchewan Premier Scott Moe called for intensified talks. The issue matters because the US remains Canada’s largest trading partner, and a widening tariff fight could affect workers, businesses and cross-border supply chains in both countries.