The two countries are aiming for a 1 August deal even after Trump announced a new 35% tariff on imports from Canada last week.

The Canadian prime minister said it may not be possible to escape U.S. tariffs even with a bilateral agreement to resolve the current tariff row.

Canadian Prime Minister Mark Carney reportedly said on Tuesday that it may not be possible for Canada to avoid U.S. tariffs. “There is not a lot of evidence right, with regards to negotiations, of any country or jurisdiction,