(WASHINGTON) — President Donald Trump on Tuesday signaled optimism about a potential U.S.-Canada trade deal, saying the two sides had “come a long way” in negotiations.
Speaking in the Oval Office alongside Canadian Prime Minister Mark Carney, Trump appeared to dial back trade tensions, striking a friendly tone toward one of the largest U.S. trading partners.
“I love Canada and the people of Canada, and Mark feels the same way,” Trump said.
Trump acknowledged that competition between U.S. and Canadian firms would make any potential accord a “complicated agreement.”
“It’s a natural business conflict,” Trump added. “There’s nothing wrong with it.”
In July, Trump issued a 35% tariff on most goods and raw materials from Canada.
Canada originally issued retaliatory tariffs. However, in August, Carney announced exemptions for goods covered under the United States-Mexico-Canada trade pact.
During their last meeting in May, Carney pushed back against Trump’s controversial proposal to make Canada the 51st state.
“As you know from real estate, there are some places that are not for sale. And Canada is not for sale, it will never be for sale,” Carney told Trump.
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