Episode Details

Canada’s ambassador to the U.S. dropped a bombshell on a video call, insisting American alcohol must return to Canadian shelves before any trade deal can be finalized — or face crippling 50% tariffs on billions in exports. As negotiators race against time in Washington, the proposed compromise includes easing steel, aluminum, and auto tariffs — plus opening Canada’s dairy market to more U.S. products. But former chief trade negotiator Steve Verheul warns this could cost Canada long-term leverage, especially ahead of the next CUSMA review, noting many U.S. industries actually oppose the tariffs and want duty-free trade. Auto makers also walked away disappointed — their push for Canadian-content exemptions is deferred to future talks. Verheul insists Canada must formally reject these tariffs as legitimate, while advisors like Chrystia Freeland question whether consultations with key industries and premiers were thorough enough — and whether removing tariffs later will even be possible once agreed upon.

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