US-Canada Close to Deal to End Section 232 Tariffs

The Trump administration is close to negotiating a solution to the steel and aluminum tariffs it imposed on NAFTA partners Canada and Mexico, a development that is seen as a must-have for any congressional vote on the U.S.-Mexico-Canada Agreement (USMCA). Treasury Secretary Mnuchin said during a Senate subcommittee hearing Wednesday that U.S. officials are "close to an understanding with Mexico and Canada,” on the tariffs, which have been in place for nearly a year. “It is a priority of ours.” However, it is not yet clear what any compromise would entail. Mexican Economy Minister Graciela Marquez said after meeting with Canadian Foreign Minister Chrystia Freeland, that the two sides were close on the tariffs. “We are, I think, close to negotiating the lifting of the tariffs," Marquez told reporters after a session in Canada. "We are having very fruitful conversations on lifting the tariffs not only in the U.S. but also here in Toronto.” However, Mnuchin indicated in his congressional remarks that he did not signal that the tariffs would be lifted, but that the three countries are "trying to resolve the tariff issues as part of the agreement with USMCA. That’s something we are focused on.”