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"We're very close," Canada-U.S. Trade Minister Dominic LeBlanc told reporters Thursday afternoon. "We continue to make progress, and we're going to stay here and do the work that's necessary until we get to that point."

Canada-US Trade Minister Dominic LeBlanc is set to meet with his counterpart, US Trade Representative Jamieson Greer, again on Friday morning.

Trump raised the prospect of reviving Keystone XL In the Truth Social post announcing the three-day tariff pause, Trump declared that the long-canceled Keystone XL pipeline “may be awoken from the grave.” He posted an illustration of himself wrangling with a pipeline. He did not say whether reviving Keystone XL was part of the agreement.

Trump said Wednesday that the U.S. might agree to lower those duties and suggested that lower tariffs on Canadian autos might also be on the table. Trump has also suggested that the deal could revive Keystone XL, the planned oil pipeline from Alberta to Nebraska that was scrapped in 2021 by then-President Joe Biden.

Published One of Canada's provincial leaders has criticised a prospective trade deal with the US and pushed his country to hold out for favourable terms, showing Prime Minister Mark Carney faces a tough battle in getting buy-in on the agreement as the hours tick down to a US-set deadline

The looming 50% tariffs were invoked last month under Section 338 of the Tariff Act of 1930, which lets the president impose duties in response to discrimination or unfair commerce. But the Great Depression-era law has rarely, if ever, been invoked, and it has been neglected for decades. This is developing news. Please check back for updates.

Section 338 tariffs have never been used before. Section 338 authorizes the president to impose tariffs of up to 50% on imports from countries that have discriminated against U.S. businesses. No investigation is required to justify the levies. Nor is there any limit on how long the tariffs can stay in place.

Canadian Prime Minister Mark Carney and Trump had spoken twice by phone in the past two days about the ongoing negotiations, including a call Tuesday afternoon, Carney’s office said, underscoring the last-minute push for a deal.

Canada currently allows a set amount of dairy imports at low tariffs. Once imports exceed that limit, much higher tariffs apply. The U.S. says Canada’s supply-management system makes it harder for American dairy producers to gain full access to the Canadian market.

Premier Christine Fréchette also pushed back against quickly restoring U.S. alcohol to provincial stores, saying Quebec alone would decide whether American products return to shelves at the SAQ, the Quebec government corporation that controls most retail sales of wine and spirits in the province.