Trump Says U.S.-Canada Trade Deal Could Come Within Weeks as Trade War Escalates

By: Ebenezer Adugyamfi & Emmanuel Ayiku for GhanaianNewsCanada
September 29, 2026

U.S. President Donald Trump says he expects the United States and Canada to reach a new trade agreement within weeks, even as the trade dispute between the two countries enters another phase with new American restrictions on Canadian imports taking effect.

Speaking to reporters in the Oval Office on Monday, September 28, Trump said he believes Canada will contact his administration within the next three or four weeks to resume discussions.

Trump expressed confidence that an agreement could eventually be reached, although he framed the expected negotiations in terms of what he described as a fair outcome for the United States.

“I think a deal will be made but it’s gonna be fair,” Trump told reporters.

His comments came just hours before the United States imposed new import bans affecting certain Canadian products, including alcoholic beverages, dairy byproducts and motorcycles.

The measures took effect at 12:01 a.m. Eastern Time on Tuesday, September 29, representing another escalation in a trade dispute that has increasingly strained relations between the two longtime North American trading partners.

Trump expects Canada to return to the negotiating table

Trump told reporters that he believes Canadian officials will approach Washington in the coming weeks.

According to The Canadian Press, the president said he expected Canada to contact him within three or four weeks and suggested that the United States would emerge from negotiations having secured its objectives.

Trump also repeated his criticism of Canada’s trade policies, arguing that the United States has been treated unfairly by its northern neighbour.

The comments came at a time when the two governments remain far apart on several important trade issues.

Although Trump expressed optimism that a deal could be reached, there is no indication that a comprehensive agreement has been finalized or that formal negotiations have been successfully restarted.

The Canadian government has continued to emphasize protecting Canadian economic interests rather than accepting U.S. demands simply to end the dispute.

New U.S. import bans take effect

While Trump was talking about a possible agreement, Washington simultaneously moved ahead with new restrictions on Canadian goods.

The latest measures primarily affect certain alcoholic beverages, dairy products and byproducts, as well as motorcycles and other products.

The White House announced the measures earlier in September under Section 338 of the U.S. Tariff Act of 1930.

The administration said the action was a response to what it describes as discriminatory treatment of American goods by Canada.

According to the White House, the measures were introduced after Canada imposed additional retaliatory tariffs on roughly US$20 billion worth of American exports, including steel, dairy and agricultural equipment.

The U.S. administration has argued that the restrictions are intended to protect American workers, farmers and businesses.

Canada, however, disputes the American characterization of its trade policies and has described the U.S. measures as unjustified.

The Canadian government has responded with tariffs of its own while also pursuing efforts to reduce Canada’s dependence on the U.S. market.

Ottawa says protecting Canadians remains its priority

Canada’s Trade Minister Dominic LeBlanc’s office responded to the latest U.S. measures by reiterating Ottawa’s position.

Gabriel Brunet, a spokesperson for LeBlanc, said Canada’s priority remains protecting and supporting Canadian workers, farmers, families and businesses.

The government also said Canada would focus on what it can control, including strengthening the domestic economy and diversifying its international trading relationships.

That position reflects a broader shift in Ottawa’s approach to international trade.

While the United States remains Canada’s largest trading partner by a significant margin, Prime Minister Mark Carney’s government has increasingly emphasized the need for Canada to develop stronger economic relationships with other countries.

Carney has previously said Canada needs to reduce its vulnerability to changes in U.S. trade policy and increase its trade with markets outside the United States.

Trade negotiations collapsed in August

The latest developments follow the collapse of Canada-U.S. trade negotiations in late August.

The two sides have blamed each other for the breakdown.

Canadian Prime Minister Mark Carney has accused U.S. negotiators of seeking changes that Ottawa considers unacceptable, including restrictions on Canada’s ability to negotiate trade agreements with other countries.

Canadian officials have also raised concerns about demands that could affect Canada’s cultural and language protections.

The Trump administration, meanwhile, has continued to argue that Canada needs to make concessions on issues such as market access and what Washington considers unfair treatment of American exporters.

Following the collapse of negotiations, the United States imposed 50 per cent tariffs on a range of Canadian goods.

Canada subsequently responded with retaliatory tariffs on American products.

The dispute has since expanded beyond traditional tariff measures.

The Trump administration has also moved to restrict Canadian-origin products from certain U.S. federal procurement programs.

The White House said the affected federal procurement schedules manage more than US$50 billion in government purchasing.

Washington says it is not in a hurry

Despite Trump’s latest prediction that a deal could come within weeks, another senior U.S. official recently offered a noticeably different assessment of the negotiations.

United States Trade Representative Jamieson Greer said last week that the Trump administration was comfortable with the current situation and that there was no urgency on the American side to reach an agreement.

Greer said Canada continues to communicate with Washington from time to time, but indicated that the United States was not under pressure to immediately return to formal negotiations.

His comments came on September 25, just days before Trump said he expected Canada to contact him within three or four weeks.

The differing messages suggest that while Trump believes a deal could be reached in the coming weeks, the U.S. administration has not publicly committed to a specific timetable for completing negotiations.

Canada faces pressure from its biggest trading relationship

The dispute is particularly significant for Canada because of the enormous volume of trade between the two countries.

Canada and the United States have one of the world’s most integrated bilateral trading relationships, with goods and services moving across their shared border every day.

Canadian manufacturers, farmers, energy producers and other industries depend heavily on access to the American market.

At the same time, American companies and consumers also depend on Canadian products and resources.

The relationship is therefore not simply a matter of Canada selling goods to the United States.

The two economies are deeply connected through supply chains involving energy, automobiles, agriculture, manufacturing and other industries.

That integration means that prolonged trade restrictions can affect businesses on both sides of the border.

Canada seeks to diversify its trade

The latest dispute has also accelerated Ottawa’s efforts to expand Canada’s economic relationships beyond the United States.

Prime Minister Carney has repeatedly emphasized the importance of increasing Canada’s trade with Europe, Asia and other international markets.

Canada has been pursuing stronger ties with the European Union and other major economies while exploring additional trade opportunities.

Carney has also said Canada wants to double its non-U.S. trade over the next decade.

The strategy is aimed at reducing Canada’s vulnerability to unilateral decisions made by Washington.

However, replacing or significantly reducing Canada’s reliance on the U.S. market would not happen quickly.

The geographic proximity of the two countries, the existing infrastructure connecting their economies and the enormous scale of bilateral trade mean that the United States will likely remain Canada’s most important economic partner for years to come.

The future of CUSMA is also at stake

The trade dispute could have wider implications for the Canada-United States-Mexico Agreement, commonly known as CUSMA.

The agreement replaced NAFTA and created a framework for largely tariff-free trade across much of North America.

Since returning to office, Trump has introduced a range of tariffs that have complicated the operation of the North American trading system.

Some Canadian products continue to receive preferential treatment under CUSMA, while others are subject to additional U.S. tariffs imposed under separate authorities.

Canada’s steel, aluminum and automobile industries have been particularly affected by U.S. trade measures.

The current dispute has therefore raised questions about how the North American trading relationship will operate in the years ahead.

New restrictions target about US$1 billion in Canadian imports

The latest import bans are significant politically, although their overall impact on the Canadian economy is expected to be relatively limited compared with the size of total Canada-U.S. trade.

BMO estimates that the newly banned Canadian exports are worth approximately US$1 billion.

The products affected include certain alcoholic beverages, dairy products and motorcycles.

According to reporting from The Associated Press, the banned products represent only a small portion of the roughly US$880 billion in annual two-way trade between Canada and the United States.

However, economists and trade experts say the importance of the measures goes beyond their immediate dollar value.

The restrictions demonstrate that Washington is willing to use additional trade tools to pressure Ottawa during negotiations.

They also create additional uncertainty for companies that depend on predictable access to the U.S. market.

American and Canadian industries remain closely connected

One of the reasons the trade dispute has become so complicated is the degree to which Canadian and American industries depend on each other.

The United States is an important market for Canadian energy exports, while American manufacturers rely on Canadian raw materials and components.

Canadian agricultural products also play a major role in the U.S. market.

At the same time, American companies export large quantities of agricultural products, machinery, consumer goods and other products to Canada.

This means tariffs and import restrictions can create costs on both sides.

Businesses may have to find alternative suppliers, change transportation routes, absorb higher costs or pass some of those costs on to consumers.

Experts differ on how long the dispute could last

Trump’s prediction that a deal could be reached within weeks is not the same as a confirmed negotiating timetable.

Some analysts believe economic pressure could eventually encourage both governments to compromise.

Others have argued that neither side is currently under enough pressure to make the concessions necessary for a comprehensive agreement.

Trade attorney Patrick Childress, quoted by The Associated Press, said the current standoff could continue for months rather than weeks.

He argued that the new tariffs and import bans may not create enough economic disruption by themselves to force either side back to the negotiating table.

That assessment contrasts with Trump’s public expectation that Canada could return to negotiations within a matter of weeks.

What happens next?

For now, the two countries remain locked in a dispute involving tariffs, import restrictions and competing demands over the future of North American trade.

Trump says he expects Canada to come back to the negotiating table and believes a fair deal can eventually be reached.

Canada has not publicly committed to the three- or four-week timetable suggested by the U.S. president.

Instead, Ottawa has emphasized protecting Canadian economic interests while looking for ways to diversify its international trade relationships.

The immediate focus will likely be on whether formal negotiations resume and whether the two sides can bridge their differences over tariffs, market access, supply chains and the future of CUSMA.

For Canadian businesses, farmers and manufacturers, the outcome could have significant implications.

For the broader North American economy, the dispute represents a challenge to a trading relationship that has been built over decades.

And while Trump says a deal could be reached within weeks, the conflicting messages from Washington and Ottawa indicate that the path toward an agreement remains uncertain.

For now, the latest development is clear: the trade war has escalated, but both sides continue to leave the door open to a negotiated settlement.