Prime Minister Mark Carney met with U.S. President Donald Trump at the White House in Washington, D.C., on Tuesday, May 6, 2025. The two leaders gathered for a formal meeting to discuss matters between Canada and the United States. The Canadian Press
Canada and the U.S. have stepped up discussions on a new economic and security deal. Both sides have started sharing draft plans. Sources say things are moving forward, but nothing is final. Only U.S. President Donald Trump can approve it, and no one knows when or if that will happen.
Documents Being Exchanged
A senior Canadian official confirmed that the two countries are exchanging papers. They called it part of a usual negotiation. They didn’t reveal what’s inside those documents. The official also said the government doesn’t plan to talk publicly about the details.
Challenges to Progress
Although the talks are active, several issues may slow things down. Trump’s unpredictable decisions and recent issues in the U.S. — like protests in Los Angeles and tensions with Elon Musk — are creating uncertainty.
This follows a trade war between Canada and the U.S. that began in February. Trump added tariffs to Canadian goods, which strained relations between the two countries. Prime Minister Mark Carney said that while the old trade bond is likely over, a new partnership may still happen.
Ministers Stay Cautious
Finance Minister François-Philippe Champagne said the situation is changing quickly. He said that all ministers are working together and trying to protect Canadian workers and businesses. He added that the talks are not easy and that both countries feel the effects.
Last week, Industry Minister Mélanie Joly said Carney and Trump had recently held direct talks. However, no updates from those meetings have been shared publicly.
U.S. Ambassador Speaks Up
During an event in Ottawa, U.S. Ambassador Pete Hoekstra said a strong deal could be coming. Still, he warned that there’s always a chance of no deal at all.
“We won’t know what’s in the deal or if it's real until it’s announced,” he said. Hoekstra also said both leaders are moving fast and want progress soon.
Bolton Warns Against Assumptions
John Bolton, former U.S. National Security Advisor, also weighed in. He said talk of a quick deal may be too early.
He warned that Trump may be more focused on making a big announcement than on creating a fair agreement. Bolton pointed out that Trump’s earlier tariffs already go against the last trade deal he signed.
“I think it’s premature to break out the champagne,” Bolton said.
Canada Boosts Defence Spending
On Monday, Carney said Canada would now meet NATO’s goal of spending 2% of its GDP on defence. That’s five years earlier than Carney had promised during the election.
Bolton called the move a “sore point” for Americans. He said past U.S. presidents, including Barack Obama, were frustrated with countries not meeting the defence target.
