Lumber, auto tariffs remain sticking points as negotiations with U.S. enter final stretch

Marieke WalshSenior political reporter Adrian MorrowU. Correspondent Ottawa and washington Published YesterdayUpdated 3 hours ago Open this photo in gallery: Canada-U. Trade Minister Dominic LeBlanc and Canada’s lead trade negotiator Janice Charette speak to media at the Canadian embassy in Washington, on June 2. Anna Rose Layden/Reuters Save for laterPlease log in to bookmark this story. Log InCreate Free Account Canada-U. S. trade talks are down to the wire this week as Ottawa tries to avert punitive new tariffs scheduled to be imposed . Negotiators were bargaining throughout the weekend, culminating Sunday afternoon with a virtual meeting between Canada-U. Trade Minister Dominic LeBlanc and U. The two were joined by Canada’s lead trade negotiator, Janice Charette, Mr. LeBlanc’s office said Sunday. LeBlanc remained in Washington on the weekend and his office said he would stay through Monday as the fight for a deal heats up. LeBlanc’s Sunday meeting, five sources briefed on the discussions said Section 232 tariffs on autos and lumber remained the biggest points of contention. According to the sources, American negotiators have opposed lowering those tariffs on lumber and proposed reducing the tariffs on autos to 15 per cent – a number that is too high for Canada to accept. What Trump’s threatened 50% tariffs could mean for Canadian businesses, according to experts Ottawa, meanwhile, is preparing plans for retaliation if the White House makes good on its threat to slam new levies on US$20-billion worth of Canadian goods on Wednesday, one of those sources and a different source confided. The Globe and Mail is not identifying the sources, who were not authorized to disclose details of the confidential negotiations. LeBlanc’s office said that the minister and Ms. Charette had a constructive hour-long meeting with Mr. Greer. “They took stock of the work that has been done , and discussions are continuing,” spokesperson Gabriel Brunet said. Prime Minister Mark Carney’s office initially said he would be in Italy until Monday on vacation, but spokesperson Renée LeBlanc Proctor said he returned Sunday and will be in St. His office did not respond to questions from The Globe about whether he has spoken with U. President Donald Trump or whether any calls with him were planned. Canada is trying to negotiate a deal that will avoid new tariffs under Section 338 of the Smoot-Hawley Tariff Act of 1930, which Mr. Trump has threatened to bring in on Wednesday. Already beset by tariffs, Quebec braces for another big trade hit Ottawa is also seeking to lower levies on steel, aluminum, autos and lumber that Mr.