U.S.-Canada trade talks collapsed after last-minute pressure from U.S. Commerce Secretary Howard Lutnick, according to people familiar with the matter, leaving U.S. President Donald Trump to impose new tariffs and Canadian Prime Minister Mark Carney vowing retaliation.
With the countries spiraling into a full-blown trade war, the spotlight is on Lutnick’s role in the last-minute talks. Lutnick viewed a framework deal as too generous to Canada and emerged as a champion for U.S. metal producers who wanted to claw back concessions, the people said, speaking anonymously to discuss the negotiations. The Canadians blame him for moving the goalposts, some of the people said, while some business leaders credit Lutnick with derailing what they saw as a threat to U.S. metals industries Trump has vowed to protect.
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