US Vice President JD Vance, Canadian PM Mark Carney Signal Possible Trade Truce After Rome Summit

U.S. Vice President J.D. Vance and Canadian Prime Minister Mark Carney met on Sunday and dicussed several topics, including trade, investment, and border security, according to statements from their offices.

The meeting held in Rome, Italy signals that both sides could be deliberating on easing trade tensions after sweeping tariffs from U.S. President Donald Trump last month and retaliatory tariffs from Canada.

It also underscores Canada's constructive stance under Carney, a former central banker who took over as the premier in March.

The meeting follows the U.S. and China announcing a simultaneous lowering of tariffs and kicking off work on a long-term trade agreement, a pivotal development that has soothed global markets.

Trump has imposed 25% tariffs on a wide range of Canadian goods. He also added a 25% duty on all aluminum and steel imports and a 25% duty on automobiles and automobile parts.

Although Trump has made some concessions by allowing firms to avoid double tariffs in some cases and exempting some firms from tariffs altogether, several U.S. businesses are still bearing the brunt.

In response, Canada imposed tariffs on several U.S. goods, such as steel and aluminum, automobiles, and food items such as fruits, vegetables, beef, and pork.

Canada has also effectively barred the sale of U.S.-made alcohol, hurting American companies like Constellation Brands (STZ).

American auto firms Ford Motor (F) and General Motors (GM), which have significant sales in Canada, are said to be the most affected by the trade face-off.

Packaged food giants PepsiCo (PEP) and Coca-Cola (KO) have indicated that Canadian tariffs have led to higher prices and tapering demand for their products.

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