Canadian Prime Minister Mark Carney reported progress toward a trade deal with the United States during a bilateral meeting in Manila on Saturday, Nov. 14, 2026, ahead of the Association of Southeast Asian Nations Summit.
Carney told reporters in Manila that he had held a lengthy, substantive telephone conversation with President Donald Trump just before departing for his trip to Asia.
“We’re making progress. We’re not there yet,” Carney said, noting the possibility of a bilateral deal.
Automotive Red Lines
Trade negotiations between Ottawa and Washington collapsed in August after last-minute U.S. demands that Canada considered unacceptable. Washington subsequently imposed 50 per cent tariffs on about $20 billion in Canadian goods, prompting retaliatory Canadian counter-tariffs of 15 per cent, 25 per cent, or 50 per cent on about $27.6 billion in American goods starting Sept. 8.
Carney drew a firm line on the domestic auto industry, which has faced severe pressure and declining passenger car and light truck exports. The Prime Minister warned that Ottawa will not accept terms that sacrifice manufacturing jobs or weaken the sector.
“This government will not settle for a deal with the United States that is not consistent with a viable Canadian auto sector,” Carney said, as reported by Business Insider Africa. He added that a stable agreement is “absolutely in the interest of course of Canadian workers, Canadian auto sector, but very much the U.S. as well”.
Speaking to CNBC on Friday, U.S. Treasury Secretary Scott Bessent expressed optimism that the United States could reach a trade agreement with Canada, though he did not provide details of any prospective agreement or indicate when one might be announced. U.S. Trade Representative Jamieson Greer also confirmed that officials from both countries had been in contact in recent days.
Ahead of the summit, Prime Minister Mark Carney held a bilateral meeting with Philippine President Ferdinand Marcos Jr. in Manila on Saturday, Nov. 14, 2026.
Expanding Trade Ties in Asia
Alongside the U.S. discussions, Carney announced new trade agreements to reduce Canada's economic dependence on its southern neighbor. Ottawa substantially concluded free-trade negotiations with the Association of Southeast Asian Nations, representing a bloc of nearly 700 million people with an economy worth nearly C$6 trillion.
In addition to the ASEAN agreement—which Ottawa estimates could add nearly C$2 billion to the domestic economy—Canada completed separate free-trade negotiations with the Philippines, with both countries working towards signing the agreement in 2027.
“Two agreements in one year: that is the speed and ambition this moment demands,” Carney said in a statement reported by Newsweek.
