Quebec Premier François Legault speaks to the media during the meeting of Canada’s premiers at Deerhurst Resort in Huntsville, Ont., on Monday.Nathan Denette/The Canadian Press
Quebec Premier François Legault says any new trade deal signed by Canada and the U.S. by Aug. 1 needs to have a specific time frame, even if it means some tariffs remain in place.
The Premier said businesses need to know how long any deal will last as the continuing tariff dispute with the Trump administration is causing too much uncertainty.
“Of course the ideal situation would be no tariffs,” Mr. Legault told reporters in Huntsville, Ont., Monday.
“If there are some, we need to have assurances that will keep this agreement for three, five years. We need to have an economy where companies know what’s happening in six months and 12 months from now.”
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Mr. Legault made the remarks on his way into a meeting with fellow provincial and territorial premiers known as the Council of the Federation.
The group will be briefed by Prime Minister Mark Carney on Tuesday morning and are expected to receive an update on the status of negotiations with the U.S. towards a new deal.
Those talks flow from a decision by U.S. President Donald Trump earlier this year to impose 25-per-cent tariffs on goods outside the United States-Mexico-Canada Agreement. This month, Mr. Trump threatened to raise those to 35 per cent.
Before that threat, Canada and the U.S. had been tracking towards a July 21 deadline for a new deal.
But the President then reset the deadline to Aug. 1.
Mr. Carney suggested last week that a deal may not mean the total removal of tariffs.
Ontario Premier Doug Ford told reporters he expects to find out from Mr. Carney this week whether that’s the case.
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Mr. Ford – who has been a proponent of hitting the U.S. with more reciprocal tariffs – said Canada also needs to diversify its economy, including bringing more production to Canada so companies using Canadian materials such as steel won’t face tariffs on imports and exports.
“We are an economic powerhouse, and we don’t have to take a back seat to anyone,” Mr. Ford said.
Alberta Premier Danielle Smith said she’s “very hopeful” a deal with the U.S. can be reached by Aug. 1.
“It’s a little bit unpredictable, I think, with the U.S. President, but that has been the aspiration,” she told reporters on her way into the meeting Monday, adding there is likely going to be some sector-specific tariffs in an eventual deal.
“Obviously we want to minimize those as much as possible, but I’ll get more of an update from the Prime Minister,” she said.
Ms. Smith said she’s happy to see Mr. Carney has made concessions in the talks, particularly around cancelling the digital services tax.
“I think by making those kinds of concessions, it demonstrates goodwill,” she said.
Earlier Monday in Ottawa, a group of U.S. senators called for Canada to pass legislation to ensure there is no digital services tax in the future.
The group, one Republican and three Democrats, met with Mr. Carney to discuss the current trade talks and steps that could rebuild trust between the two countries.
“We are bridge builders, not people who throw wrenches,” said Ron Wyden, a Democratic senator from Oregon.
Mr. Wyden said Mr. Carney was “receptive” to the idea of a bill banning the DST, and told senators he would “get on it in the fall.”
U.S. Sen. Maggie Hassan, left, Sen. Lisa Murkowski and Sen. Catherine Cortez Masto, right, listen to Sen. Ron Wyden speak with media after a meeting with Prime Minister Mark Carney on Parliament Hill in Ottawa on Monday.Adrian Wyld/The Canadian Press
Canada Revenue Agency has previously said that a law would be required to ensure those eligible for refunds from the now-defunct tax can receive them.
Republican Sen. Lisa Murkowski said continuing talks toward the Aug. 1 deadline are “very tightly, very closely” held.
“We all want to get to Aug. 1 and beyond with a resolve that works for Canada and works for the United States,” she said.
The senators also urged a focus on renewing the U.S.-Canada-Mexico free trade deal, which is up for renegotiation next year.
“We need to make sure that as we move forward, both Canada and the United States are getting what they need out of this agreement,” said Sen. Catherine Cortez Masto of Nevada.
Premiers are also meeting Monday with national Indigenous groups to speak about plans to fast-track nation-building and resource projects.
Last week, Mr. Carney met with First Nations leaders to begin discussions on the implementation of Bill C-5, which will give the federal government power to speed up those kinds of projects.
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At his previous meeting with premiers in June, he had asked them for lists of which projects might qualify.
On Monday, Ms. Smith said she hopes to hear more about the bill from the Prime Minister and an update on his talks with First Nations.
“We think this is a great opportunity for economic reconciliation with First Nations,” Ms. Smith said.
She said she’s supportive of an abridged time frame to build national projects, but that governments also have to make sure that Indigenous communities are consulted.
Mr. Ford, whose government has also faced pushback for its plan to fast-track mining projects, said he’s talked to many First Nations leaders who want a better life for themselves and their families.
“This is the opportunity of a lifetime. This door is only open for so long,” he said.
“We’re going to work with them. We want everyone to have an opportunity. I want everyone to prosper.”
Meanwhile, the Assembly of Manitoba Chiefs has written to Mr. Carney and Manitoba Premier Wab Kinew, urging them to include First Nations representation in Tuesday’s first ministers meeting with the Prime Minister and Premiers.
“These discussions can’t happen without us. First Nations aren’t just affected by international trade decisions, they are directly involved in the regions, the economies, and the lands these decisions will touch,” Grand Chief Kyra Wilson said in a statement.
“We are governing nations with existing mandates and responsibilities. Ignoring that weakens the response and risks repeating the same mistakes we’ve seen for decades.”