Canada-US tariff talks press on as Carney rules out deal threatening auto jobs
Summary
- Trump imposed 50 percent tariffs on $20 billion in Canadian goods in August 2026; Canada retaliated with duties on US goods in September.
- Trade talks resumed in November after collapsing in August; Carney says the US is asking less and offering more, with autos a sticking point.
- Carney says any deal must keep a viable Canadian auto sector, as Ottawa fights Stellantis' sale of its Brampton plant and considers legal action.
- Former US trade officials are challenging the tariffs in court, and Democrats plan repeal votes when the new Congress convenes in January 2027.
- Fallout includes US spirits exports to Canada falling 57 percent, provinces still banning US alcohol, and US duties on Canadian goods rising 25-fold.
- Quebec launched its own trade team to Washington against Carney's wish for a single negotiator; Canada and the US continue negotiating a bilateral deal.
Reactions
- Carney said he will not accept a trade deal that is not consistent with a viable Canadian auto sector.
- Former US trade officials, including NAFTA negotiator Carla Hills, argued in court that Section 338 is dead and the tariffs bypassed congressional safeguards.
- The White House maintains the tariffs protect American businesses from unfair treatment, and an official said Trump will not abandon them.
- Ambassador Mark Wiseman urged removing tariffs, saying 'The sooner, the better'; Conservative Leader Pierre Poilievre called for Industry Minister Mélanie Joly's dismissal.
- Senate Democrats introduced a bill to repeal and refund the Section 338 tariffs; Ron Wyden says repeal has overwhelming support.
- Distilled Spirits Council chief Chris Swonger said the US import ban gives American producers no benefit; Quebec's premier said Quebec is 'not on the menu.'
Timeline newest first
Prime Minister Mark Carney said in Manila that Canada will not accept a US trade deal that threatens Canada's automotive industry.
Canada timed retaliatory tariffs to hit politically sensitive US districts before the midterms; a Michigan business alliance's campaign pushed Republican candidates to soften on the tariffs.
Senate Democrats planned to make repealing the Canada tariffs their first target in rolling back Trump's trade agenda when the new Congress convenes.
Carney said more intense Canada-US trade talks had resumed, with Washington dropping objections to Canada's French-language rules and third-party trade deals.
Kentucky distillers reported losing Canadian sales under the provinces' alcohol ban, as US spirits exports to Canada fell 70 percent since 2024.
The House voted 219-211 to overturn Trump's tariffs on Canada, with six Republicans joining Democrats; Trump was expected to veto the measure.
The Senate voted 51-48, with four Republicans joining Democrats, to end the national emergency behind tariffs on most Canadian goods; Trump said the House would never pass the bill.
Sources newest first
- Carney draws red line on Trump trade deal over auto jobs
A Newsweek article reports that Prime Minister Mark Carney, speaking at an ASEAN summit press conference in Manila, says Canada will not accept a trade deal with Donald Trump that threatens its auto industry, as Ottawa fights Stellantis' sale of its Brampton plant and weighs legal action over abandoned Jeep Compass production that laid off more than 2,000 workers. Carney calls a viable Canadian auto sector a condition of any agreement, while Industry Minister Mélanie Joly says Stellantis cannot close the plant and Pierre Poilievre demands her dismissal.
Former U.S. trade officials challenge Trump's Canada tariffsA Newsweek article by Rich Percival reports that three former U.S. trade officials, including NAFTA negotiator Carla Hills, have urged the U.S. Court of International Trade to strike down Trump's 50 percent tariffs on Canadian goods, arguing Section 338 of the 1930 Smoot-Hawley Tariff Act is dead and invoked to dodge congressional safeguards. The White House maintains the measures protect American businesses from unfair treatment.
Canada Warns Trump Tariffs Are Hurting US EconomyCanada's ambassador to the U.S., Mark Wiseman, warns that Trump's tariffs are making America more expensive for business and deterring investment, urging both countries to remove tariffs and restore stability, saying "The sooner, the better." Newsweek reports U.S. duties on Canadian goods hit about $10 billion in 2025, a 25-fold rise, while a Leger survey finds nearly half of Canadians expect easier trade negotiations after the midterms, and White House officials say the tariffs will stay.
Trump's whisky war fails to boost American producersNewsweek reports that President Trump's September 29, 2025 ban on Canadian alcohol has done nothing for American producers: Canadian whisky sales fell in the control states, but American whiskey gained none of the lost volume, with drinkers turning instead to canned cocktails and tequila, and eight of Canada's ten provinces still refuse to stock U.S. alcohol. Distilled Spirits Council chief Chris Swonger, whose distillers' exports to Canada fell 57 percent in 2025, says the ban gives American producers no benefit, and Newsweek argues that Washington can clear a shelf by decree but cannot make an American drinker reach for bourbon.
Quebec separatists take Trump tariff fight into own handsNewsweek's Rich Percival reports that Quebec Premier Paul St-Pierre Plamondon is launching Team Quebec, a trade team led by Pascal Paradis to fight Trump's 50 percent tariffs, sending letters to 59 newly elected American senators and governors. Prime Minister Mark Carney insists Canada should have a single negotiator, while Plamondon says Quebec is "not on the menu" and will take its place internationally.
How Canada Inflicted Maximum Midterms Pain on TrumpPolitico reports that Canada spent a decade studying how to push back on Donald Trump and, in 2026, timed retaliatory tariffs to hit goods that would maximize economic pain across the U.S. midterm map, with Prime Minister Mark Carney walking away from trade talks hours before an August 2026 deadline. The piece also follows Michigan's Trade Smart Alliance, built by Republican John Sellek and Democrat Mark Fisk, whose polling and ads helped push Republicans like Senate nominee Mike Rogers to break with Trump's tariffs.
Exclusive | Democrats Are Hatching a Plan to Reverse Trump’s Canada Tariffs
A Wall Street Journal exclusive by Gavin Bade reports Democrats are plotting to make Trump's Canada tariffs — $20 billion in levies plus a threatened doubling on Canadian vehicles — the first target in a push to roll back his trade agenda. Ron Wyden says repeal has overwhelming support, but the Journal notes the effort would likely need 60 Senate votes, and it is unclear Democrats could override a veto; both parties, some say, remain reluctant to give up the tariff powers Trump has used.
Carney says U.S. 'asking less and offering more' with 'more intense' trade talks underway | CBC NewsAt the Commonwealth summit in Antigua, Prime Minister Mark Carney says Canada-U.S. trade talks, collapsed since August 2026, have resumed with more intensity, with the U.S. now off Canada's red lines on French-language rules and third-party trade deals, though autos remain a sticking point. Carney calls the shift very welcome and expects to meet President Trump in China at the APEC summit later in November, as Trump told Fox News a deal was near and CBC News reports the progress comes on U.S. midterm election day amid pollsters' expectations of a blue wave.
TRUMP KISSES CANADA'S RING !!!youtube.com· 11d
In a Midas Canada commentary, Charlie Angus argues that Donald Trump's sudden warmth toward Canada — dropping threats to make it the 51st state and begging Prime Minister Carney for a trade deal — is a scramble to survive the midterms as Canada's $20 billion in counter tariffs hit politically sensitive US districts. Citing polls and the Atlantic Council, he says the tariffs are costing American jobs in Wisconsin dairy, Kentucky bourbon, and California wine, warning that Canada should not trust Trump and will fight on until it gets a peace it can trust.
CTV News went to Kentucky to see if Canada’s bourbon bans are hurting them. Their response was bluntCTV News visits Kentucky's bourbon country to gauge the impact of Canada's ban on American spirits, which provinces imposed in March 2025 in response to U.S. tariffs and most still had in place as of October 2026. Tom and Kim Bard say their distillery lost a major revenue stream overnight, opening a satellite tasting room and pausing expansion to cope, while industry groups report U.S. spirits exports to Canada fell 70 per cent.
Republican senator warns Carney: Closer ties to EU hurts chance of trade deal with U.S. | CBC NewsCBC News reports that Republican Sen. Susan Collins warned Prime Minister Mark Carney that deepening Canada's ties with the EU — after Ursula von der Leyen offered it the first "associate membership" in Strasbourg — could make it harder to reach a trade deal with the Trump administration, which Donald Trump called "laughable." Collins urged both countries to return to the bargaining table, while Senate Democrats tabled a bill to repeal the tariffs and Sen. Chris Coons forecast a "tall order" to end the trade war even if they win the midterms.
Six House Republicans join Democrats in symbolic vote to end Trump’s tariffs on CanadaThe Washington Times reports the House voted 219-211 to overturn President Trump's tariffs on Canada, with six Republicans — Reps. Massie, Kiley, Bacon, Fitzpatrick, Newhouse and Hurd — joining Democrats after a GOP moratorium expired, though Trump is expected to veto and the Senate must still act. Supporters said the tariffs inflate costs, while Speaker Mike Johnson defended them over fentanyl and Rep. Jim McGovern called the moratorium extension "disgusting."
Four Republicans help Democrats pass measure to end Canadian tariffs - Roll CallThe Senate passed 51-48, with four Republicans joining Democrats, a joint resolution by Sen. Tim Kaine to end President Trump's national emergency behind 25 percent tariffs on most Canadian goods. Rand Paul, Susan Collins, Lisa Murkowski and Mitch McConnell backed it; Trump denounced them on Truth Social and predicted the House will never approve the bill.
Background newest first
What are your rights when your flight is canceled?washingtonpost.com· 5h
A Washington Post live-updates page explains air passenger rights after a nationwide ground stop halted U.S. flight traffic for over four hours: no federal rule requires compensation for cancellations or delays, airlines voluntarily compensate only for disruptions within their control, and a refund is required if a passenger chooses not to fly. The page also follows Mark Carney's trade talks with Trump, Judge Ana C. Reyes's ethics inquiry into administration lawyers, a Microsoft outage that disrupted services worldwide, and Life Hax advice on a dog-unfriendly family visit.
So, What Will Democrats Do Next Year? They’re Working On That.huffpost.com· 6h
A HuffPost news article looks at Democrats' efforts to settle on an agenda for next year after winning Congress in a landslide on an affordability message. Key figures include Chris Van Hollen challenging Chuck Schumer for Senate leader, plans to undo Trump's tariff and tax policies, and debate over whether to force another shutdown or pursue deals with Trump.
How Canadian stocks could be big winners of U.S. midtermscnbc.com· 8h
A cnbc.com article page rounds up market headlines: defense stocks slid on fears Democrats will curb spending, turmoil at Nvidia reshuffles the AI trade, Tom Lee is buying the tech dip, and the AI trade faces big tests ahead, starting with Nvidia earnings and capped by an Anthropic IPO. Among the calls, an unnamed analyst sees the defense slide as a buying opportunity, Tom Lee says the Nvidia CEO scandal is not a thesis changer, and Bernstein says Apple has become the safe "Costco" of tech and investors should keep buying it.
16 Totally Plausible Deals Trump Could Make With DemocratsPolitico lays out 16 bipartisan deals Donald Trump could plausibly strike with the Democrats who won the House in the 2026 midterms, from capping credit card rates, codifying his most-favored-nation drug pricing deals, and restoring enhanced Obamacare subsidies to legalizing recreational marijuana, repealing the Canadian tariffs, mandating anti-collision aviation tech, and an immigration deal on border security and a citizenship pathway. It cautions that hardliners like new chief of staff Stephen Miller show little interest in deal-making and that the looming 2028 race could push both sides to sharpen differences instead.
‘We will sue them’: Canada threatens Stellantis as Trump trade war reshapes Jeep production plansCanada threatens to sue Stellantis after it agreed to sell its idled Brampton, Ontario, Jeep plant to Roshel and moved Compass production to Illinois amid Trump's trade war. Industry Minister Mélanie Joly says the company has 30 days to answer a notice of default, while Stellantis CEO Trevor Longley offers to return $24 million in government support, far short of what Ottawa says it is owed, and Prime Minister Mark Carney calls the move a "betrayal" of workers.
Seafood exporters once feared devastating U.S. tariffs. Now they’re finding buyers in ChinaA CTV News article by Maria Sarrouh reports that P.E.I. seafood exporters, seeking to diversify amid U.S. trade tensions, are courting Chinese buyers after a provincial trade mission through Qingdao, Beijing and Shanghai. Ottawa extended tariff relief on Canadian lobster and crab through 2028, and exporter Bruce Palmer says interested buyers abounded, though shrimp and some other products still face Chinese duties.
Canada courts deeper ties with Australia as two nations look to diversify beyond U.S.CTV News reports Canada is courting deeper economic and security ties with Australia to diversify beyond the United States, as more than 160 business and political leaders met in Vancouver for the Australia Canada Economic Leadership Forum's 10th conference. Minister Evan Solomon called for building resilient partnerships with trusted countries; Canada's $2.5-billion radar purchase from Australia, reportedly the largest defence export in Australian history, and a pension investment pact underpin the effort.
Opinion | How Do You Like Those Tariffs Now?
In a WSJ opinion piece, economist David Hebert argues that economists' warnings about President Trump's tariffs came true and that voters punished Republicans for the policy at the polls, though the party would rather blame the war in Iran and high gasoline prices — which Vice President JD Vance cited. He notes that throughout 2025 economists of nearly every stripe predicted Americans would pay the tariffs and allies would retaliate, and cites polls in which 3 in 4 voters said tariffs would matter to their vote and majorities in 45 surveyed states said tariffs hurt their economy.
White House vows to press ahead with tariffs despite midterm backlash over rising pricesA week after midterm voters punished Republicans over rising prices, CNBC reports that the White House vows to press ahead with tariffs, which polls show most Americans oppose. At the B20 summit, business leaders including Gary Cohn, who calls tariffs a consumption tax, and Suzanne Clark weighed the trade agenda's costs against its aims.
Trump Trade Adviser Says 'We Are Quadrupling Down On Tariffs' After The GOP Lost Congress. Here's What Yale Budget Lab Says Tariffs Cost The Average American Household247wallst.com· 4d
247wallst.com's article reports Peter Navarro's vow to "quadruple down on tariffs" after Democrats took Congress, alongside Yale Budget Lab estimates of an 11% tariff rate costing households about $1,100 a year and the Treasury's $173.2 billion in fiscal 2026 customs duties. Chuck Schumer's End Trump's Tariff Tax Act faces steep veto-override odds, with Cato's Scott Lincicome seeing repeal chances only on narrow targets like Canada.
Pluralistic: America cannot undo Trumpism (09 Nov 2026) – Pluralistic: Daily links from Cory Doctorow
pluralistic.net
Cory Doctorow's Pluralistic essay argues that America cannot undo Trumpism: Project 2025's one-way transformations, a DOGE-gutted civil service, ICE-driven terror that drove immigrants to flee, and hundreds of billions transferred to oligarchs mean the world can no longer trust America as its cop, banker, ISP and consumer of first resort. He contrasts this with Mark Carney, who declared a 'rupture' at Davos and answered Trump's tariffs in kind, yet, Doctorow writes, still hopes to go back to brunch.
How Democrats will try to end Trump's tariffsCNBC reports that after Democrats' landslide in the November 2026 midterms, they plan to challenge Trump's tariffs through legislation reasserting congressional authority over trade, investigations into tariff exemptions, and a first-100-hours blitz, with the Canada trade war an early target. Their path is narrowed by the lack of a filibuster-proof Senate majority, Trump's promised vetoes, and multiple lawsuits already contesting tariffs, including the struck-down "liberation day" duties whose $166 billion in revenue is being refunded.
The Post-Midterm Reality Canada Needs To Prepare ForIn a video on the Claus Kellerman POV channel, Claus Kellerman assesses what the US midterm results mean for Canada: the president's tariffs remain, Canada's trade surplus hit a four-year high on energy and mineral exports, and a big oil-price drop the day after the midterms suggests investors expect an end to the war with Iran. Kellerman says the tariff policy failed and hurt Republicans at the polls, predicts no tariff reversal unless the president can claim it as a win, expects Canada to keep diversifying trade, and forecasts a 2028 Republican wipeout if oil stays over $100 a barrel.
America Just Wants Canada To Know It’s Totally Safe To Come Back NowIn a satirical monologue, Clare Blackwood speaks as the United States, wheedling Canada to come back now that the midterms have supposedly fixed fascism and promising there will be no more tariffs — before admitting there will be tariffs. The persona begs Canada to forget the invasion threats, the "governor" taunts, and the lost billions.
MAGA MELTS DOWN - SHOULD CANADA DROP OUR GUARD?In a Midas Touch Canada commentary, Charlie Angus argues that despite Democrats' midterm victories and MAGA's meltdown, Canada should keep its US boycott, stick to the existing CUSMA trade deal, and not drop its guard on sovereignty, citing ICE detentions of Canadians and elevated threat levels. Lisa Blackburn's segment says Nova Scotia's government is giving a disturbing lesson in responding to critics, as Premier Tim Houston's adviser chastised professor Sibo Chen over concerns about Everwind's proposed $10 billion AI data center in Point Tupper, whose power, water, and environmental questions remain unanswered.
Opinion | Trump’s Tariffs Have Failed. Bring Back Reaganomics.nytimes.com· 8d
In a New York Times opinion column, Douglas Holtz-Eakin argues that Trumponomics — its tariffs, handouts and fiscal irresponsibility — was the standout loser of the midterm election, its failures masked only by the A.I. boom, and urges Republicans to return to limited-government Reaganomics. He says populist economics have failed visibly enough that leaders embracing a traditional platform could win elections.
America isn’t the only nation celebrating the blue tsunamidailykos.com· 9d
A Daily Kos article by Alix Breeden reports that Democrats swept the House and Senate in November 2026 and the win was celebrated abroad: Ontario Premier Doug Ford called it a "victory for Canada," Mexico launched investigations into U.S. ICE facilities after at least 15 Mexican nationals died in custody, and Spanish Prime Minister Pedro Sánchez said the far-right is "crumbling." California elected Xavier Becerra its first Latino governor, while Russian state media warned of Trump's wrath falling on Europe.
Here’s What Happens When Trump’s Star Implodesthebulwark.com· 9d
The Bulwark argues that after Democrats' midterm rout, the Republican Party's decade of revolving around Trump shows signs of collapse: JD Vance publicly blamed the loss on the Iran war, Republicans per CNN are pinning the wipeout on Defense Secretary Pete Hegseth, whom Rep. Thomas Massie plans to impeach, while Trump himself chatted aimlessly about his new East Wing ballroom. Canadian columnists, meanwhile, counsel wariness of a Trump trade deal and expect years of damaged U.S.–Canada relations.
BREAKING: Canada Rejects U.S. Threats With New DealsIn a commentary video, Claus Kellerman argues Canada is shrugging off US pressure and diversifying its trade — citing LNG Canada's expansion backed by pension funds and Blackstone, new deals with Turkey and Commonwealth partners, and a minister's trip to China. Quoting Mark Carney's remarks that Canada will only sign a mutually advantageous deal, Kellerman says the US president's "concept of a plan" amounts to reviving Keystone XL in exchange for lowering tariffs he illegally imposed, and predicts Canada will not deviate from "a little less United States and a little more of everything else."
The Democrats’ Midterm Sweep Could Chart a New Path for Canada | The Tyeethetyee.ca· 9d
A Tyee opinion piece by a Canadian writer living in Ohio argues the Democrats' sweep of the House and Senate — including Susan Collins' loss to Troy Jackson in Maine over the trade war — signals a broad rejection of Trump's MAGA movement and could transform the U.S. political map. The author sees likely good news for Canada, with Bruce Heyman urging reconciliation, but says Democrats must consolidate their alliance, embrace piety, address economic problems and stay disciplined.
Analysis: Trump has defied political consequences for years. The midterms changed that | The Associated Pressap.org· 9d
An Associated Press analysis argues that the 2026 midterms ended Donald Trump's decade-long defiance of political consequences, with voters forcefully rejecting him after his tariffs, the war in Iran, and his focus on Washington renovations. Democrats swept governor's races in Georgia, Texas, Ohio and Wisconsin, James Talarico became Texas's first Democratic senator since 1988, and Trump — who didn't dispute the results — blamed his own candidates.
Wall Street Journal editorial board: Trump ‘main architect’ of GOP midterm ‘rout’thehill.com· 10d
The Hill reports that Democrats swept the 2026 midterms on November 3, projected by Decision Desk HQ to reach 256 House and 55 Senate seats, while President Trump took his frustration out on the media and Republicans he called RINOs. The Wall Street Journal's editorial board calls Trump the "main architect" of the rout, blaming his universal tariffs, trade war with Canada, and erratic second-term governance, while a White House official quoted by The Hill says the mood there is defiant.
News Wrap: Andy Burnham becomes Britain's 7th prime minister in a decadepbs.org· 16w
A PBS NewsHour News Wrap reports Andy Burnham became Britain's seventh prime minister in a decade, replacing a resigned Keir Starmer and vowing to tackle the cost of living and health care. It also covers the Tate brothers' U.S. custody, a fire attack on a New York federal building, violent New Delhi protests, Nolan Wells' funeral, Trump's 50 percent Canada tariffs, and the Vances' newborn son.
Trump backed down from NATO tariffs over Greenland but may cross a 'red line' on U.S. military bases there | Fortunefortune.com· 42w
Fortune reports that Trump pulled back his threat to tariff NATO countries over Greenland and, after meeting Secretary General Mark Rutte, agreed to a security framework, but told the New York Post the U.S. will take sovereignty over land hosting American bases like Pituffik. Greenland's and Denmark's prime ministers call sovereignty a red line, and Fortune expects the unresolved details could reignite tensions.
Trump says William McKinley 'made our country very rich through tariffs.' But the 25th president changed his mind on tariffs after realizing 'friendly trade relations will prevent reprisals' | FortuneAn Associated Press article in Fortune examines President Trump's admiration for William McKinley and tariffs, setting his push to recreate the Gilded Age against historians' views that he idealizes a corrupt, unequal era whose growth owed little to tariffs. It notes McKinley himself had second thoughts, urging friendly trade relations days before his 1901 assassination.
