Title: Carney Meets Trump Amid Ongoing Tariff Negotiations

WASHINGTON — Prime Minister Mark Carney is scheduled to meet with U.S. President Donald Trump for the second time in the Oval Office on Tuesday. This meeting comes as both leaders navigate the complexities of trade relations and the potential for tariff relief. Observers are closely watching to see if any progress can be made regarding the tariffs that have impacted Canadian businesses.

Trump indicated on Monday that he expects Carney to address the issue of tariffs during their meeting. "I guess he’s going to ask about tariffs because a lot of companies from Canada are moving into the United States," Trump said. He noted that Canadian companies are facing challenges due to the tariffs, which he has implemented as part of his broader trade strategy.

Since taking office in May, Carney has maintained communication with Trump, seeking a way to alleviate the tariffs that have been imposed on various Canadian goods. These include significant duties on steel, aluminum, and automobiles. In August, Trump raised tariffs on Canada to 35 percent, although these do not apply to goods compliant with the Canada-U.S.-Mexico Agreement (CUSMA).

Carney has made several concessions, including dropping Canada’s digital services tax and many retaliatory tariffs. He has also focused on enhancing border security and increasing defense spending to meet NATO targets. However, despite these efforts, there has been little indication that Trump is willing to reduce the existing tariffs. Brian Clow, a former deputy chief of staff to ex-Prime Minister Justin Trudeau, expressed skepticism about the likelihood of significant tariff reductions. "To me, the prospect of significant tariff movement on anything is pretty low," Clow said.

The meeting will also include a working lunch with senior officials from both countries. Carney is accompanied by several Canadian ministers, including Intergovernmental Affairs Minister Dominic LeBlanc and Industry Minister Mélanie Joly. The discussions are expected to cover a range of issues, including the ongoing review of CUSMA, which is set for 2026.

The stakes are high as this meeting coincides with the second anniversary of the Hamas attacks on Israel, which have led to ongoing conflict in the region. Carney's recent recognition of Palestinian statehood at the United Nations has also added complexity to U.S.-Canada relations, as Trump has previously criticized this move.

As Carney prepares for the meeting, a senior government official has tempered expectations, suggesting that no major breakthroughs are anticipated. The official stated that the meeting is more about facilitating dialogue on various issues rather than securing immediate concessions. Opposition Leader Pierre Poilievre has called on Carney to deliver tangible results, criticizing him for not fulfilling campaign commitments regarding trade negotiations.

Despite the challenges, Carney's team is focused on laying the groundwork for future discussions on CUSMA. Business Council of Canada President Goldy Hyder emphasized the importance of maintaining the trade agreement, stating, "We have to work towards preserving that, which means we need to make sure we’re leaning in on the review and renewal of the (Canada-U.S.-Mexico free trade agreement)."

As the meeting unfolds, both leaders will have the opportunity to address their respective concerns and explore potential avenues for cooperation in the future.