Carney, Trump in direct talks on trade and security deal, says US envoy

Canadian Prime Minister Mark Carney is engaged in direct negotiations with US President Donald Trump to develop a framework for a trade and security pact, according to a report.

According The Globe and Mail report, citing US Ambassador to Canada Pete Hoekstra, the talks, led by the two leaders and senior cabinet ministers, are being conducted discreetly to maximize the chances of a successful agreement.

While Carney and Trump met in the Oval Office on May 6, this marks the first confirmation that they have been directly involved in high-level negotiations, added the report.

“You have the relationship and the discussions between the President and the Prime Minister,” The Globe and Mail quoted Hoekstra as saying, adding “they have had conversations, more than just the Oval Office.”

“The indications that they are talking and in communications regularly is a clear indicator to me that both sides recognise the importance and the urgency of moving this forward,” he said.

He said the talks include Trade Minister Dominic LeBlanc and US Commerce Secretary Howard Lutnick and Trade Representative Jamieson Greer.

Hoekstra said Canada and the U.S. are outlining the framework of a potential deal focused on increasing U.S. content in autos, expanding access to Canadian critical minerals, and enhancing Canada’s role in Arctic security. The talks also cover defence spending, energy, border security, fentanyl, and steel and aluminum.

Hoekstra noted that the negotiations are strictly bilateral, excluding Mexico, and are being kept tightly under wraps to avoid leaks and ensure progress.

“This is too important for it be managed by leaks. There is too much at stake. You are our second largest trading partner,” he was quoted as saying.

Hoekstra said it was entirely possible that a deal could be reached before September, something the Prime Minister alluded to last week.

“Sure, September is possible. Is possible to be earlier. Sure. Is it possible that it will be later, sure,” he said. “When the President is ready to announce an agreement and the Prime Minister is ready to announce an agreement. That is when that will happen,” he added.

With inputs from agencies