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Canada prepares alcohol, dairy and auto concessions for interim U.S. tariff relief

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Politics Desk

Vehicles at a U.S. border port of entry
Photo: Kris Grogan / U.S. Customs and Border Protection (public domain)

What we know

With Trump’s threatened Aug. 19 50% tariffs on roughly $20 billion of Canadian goods still the clock, Friday reporting said Canada was preparing to meet key U.S. demands—ending provincial bans on American alcohol sales, adjusting dairy tariff-rate quota allocation, and lifting retaliatory tariffs on U.S. autos—in exchange for dropping the new levies and winning relief on Section 232 steel and aluminum (with autos and lumber still in the ask). Industry sources said Canadian negotiators had told Washington that imposing the Aug. 19 package would kill political appetite in Canada to keep talking.

The Globe and Mail, citing eight cross-border sources, described an intensive LeBlanc–Charette–Greer phase trading written proposals for an “interim” first phase ahead of possible fall CUSMA talks. CBC confirmed Thursday’s Washington meeting and said Ottawa also wanted a joint announcement that CUSMA negotiations would resume. American negotiators were described as unwilling to remove sectoral levies entirely. Provincial alcohol politics remained a hinge—most provinces still ban U.S. liquor—and no signed deal was on the table Friday.

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