Waterloo Region Record

‘Potential carve-outs’ for Canada, Mexico on tariffs?

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WASHINGTON — Canada and Mexico may get a special exemption from the impact of U.S. President Donald Trump’s controvers­ial steel and aluminum tariffs, a White House spokespers­on suggested Wednesday.

“There are potential carve-outs for Canada and Mexico based on national security — and possibly other countries as well, based on that process,” Sarah Sanders said during her daily media briefing.

“That would be a case-by-case and country-by-country basis.”

There’s a last-minute scramble on to have Canada spared from the U.S. tariff plan, which could be announced as early as Thursday.

Intense debates have been going on within the Trump administra­tion about whether to offer any exemptions: Some argue Canada and Mexico should get relief at least as long as NAFTA is being negotiated.

The White House’s latest comment suggest that might indeed happen.

The administra­tion has hinted the tariffs could eventually wallop the neighbours in the event that NAFTA talks fail, and Wednesday’s remarks from Sanders suggest any tariffs will not be imminent.

In New York, Washington and Texas, a number of Canadian officials have been reaching out to American peers — some of whom have been pleading the Canadian case.

Foreign Affairs Minister Chrystia Freeland has just spoken with congressio­nal leader Paul Ryan and Canadian ambassador David MacNaughto­n was to dine with U.S. national security adviser H.R. McMaster.

Defence Minister Harjit Sajjan has chatted with Pentagon counterpar­t James Mattis.

UN ambassador Marc-Andre Blanchard has spoken with U.S. counterpar­t Nikki Haley.

And Natural Resources Minister Jim Carr is raising the issue with Energy Secretary Rick Perry at a conference in Texas.

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