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U.S. Edition Est. 2026 Nov. 2, 2026

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Trump and Carney Say U.S. and Canada Are Close to a Trade Deal, but No Terms Are Announced Yet

President Donald Trump and Canadian Prime Minister Mark Carney said Sunday they had made progress toward a trade agreement, with negotiating teams set to work in the coming weeks, though neither side released final terms.

Freight trucks at a highway border crossing at dusk, with American and Canadian flags on either side

Canadian Prime Minister Mark Carney said Sunday he had a constructive conversation with U.S. President Donald Trump about a potential trade deal, with negotiators set to work toward an agreement in the coming weeks. Trump subsequently said both sides had “the concept” of a mutually beneficial deal.

Hours later, after landing in Iowa for a rally, Trump said, “We have the concept of a very good deal with Canada.” “We are now very close to having a deal,” he said. He said the possible agreement was “going to be great for our farmers, great for our country, and it’ll be fine for Canada.”

A wheat field with metal grain silos in the distance under a partly cloudy sky

Trump said the negotiations involved construction of the Keystone XL pipeline and prospects that the agreement could erase tariffs paid by U.S. farmers for Canadian products. “Part of the agreement is that our farmers will have to pay no tariffs,” he said, even though his comments also made clear that final details had not yet been established.

A long metal pipeline running across flat prairie land toward the horizon

No final terms yet

Carney said the conversation built on recent discussions about the outlines of a deal that would create jobs, lower costs for families and protect Canada’s languages, culture and sovereignty. “Our teams will now be working in the coming weeks to deliver that outcome,” Carney wrote on social media. As recently as Wednesday, Carney said the countries were not yet in a position to reach an agreement before Tuesday’s midterm elections.

The August breakdown still shapes the talks

The upbeat assessment was a shift from August, when Canada walked away from negotiations after rejecting U.S. demands that Carney said threatened Canadian sovereignty, French-language protections and the auto industry. Trump responded with 50% tariffs on roughly $20 billion in Canadian goods, prompting Canadian retaliation. The two sides have been discussing possible relief from U.S. tariffs on Canadian steel and automobiles, although no details of a potential agreement have been announced.

Stacked shipping containers and large cranes at a port beside open water

Trump’s trade war with Canada has become an issue in Tuesday’s elections, particularly in Michigan and Maine, where Senate races are taking place. Michigan Republican Senate candidate Mike Rogers has called for an end to the tariff war. Canadian Conservative opposition leader Pierre Poilievre urged Carney on Sunday to reach a trade deal, saying Canadians could not afford to wait. “It’s time for Mr. Carney to put the big talk in the past and deliver real results,” Poilievre said. Robert Bothwell, a University of Toronto historian, cautioned against reading too much into the improved tone, comparing the apparent thaw to a passing weather system bringing “five minutes of variable sunshine. Rain later.”

Reporting based on coverage by The Associated Press.