The second day of the G7 summit in Kananaskis, Alta., offered some much needed optimism to Canada’s business leaders, as they expect to get more clarity on where trade negotiations with the U.S. stand in the coming days.
Candace Laing, CEO of the Canadian Chamber of Commerce, took U.S. President Donald Trump’s comments on Monday as a “positive signal” that the nations will be making progress on the trade front.
Recent surveys have shown that ongoing uncertainty around tariffs is damaging business confidence and leading many to pause hiring and investments, raising concerns around rising unemployment and a major economic slowdown.
The economic outlook took a turn for the worse after Trump doubled tariffs on steel and aluminum to 50 per cent earlier this month, with the United Steelworkers Union calling the move “a devastating blow to Canada’s industries and the hundreds of thousands of jobs they support.”
Laing says she hopes the leaders will come out of the G7 summit with at least “a deal to do a deal.”
“If that means we’ll have certainty we’re going to start CUSMA talks for a review in July or September, that would be amazing,” she said. “That’s something certain that the business community would love to see and hear.”
The Canada-United States-Mexico Agreement (CUSMA), a free-trade pact between the neighbouring nations, is due for a formal review in July 2026 and discussions are ongoing. If the agreement isn’t extended, there will be a review every year until it expires in 2036.
While addressing reporters’ questions on Monday morning before heading into a private meeting with Prime Minister Mark Carney, Trump said “not much” is holding up a trade deal with Canada.
The American president said that while he likes the concept of tariffs, “Mark has a more complex idea, but also very good. So we’re going to look at both, and we’re going to see what we’re going to come out with.”
Canadian officials later called the one-on-one meeting between Trump and Carney “productive,” though Canada-U.S. relations minister Dominic LeBlanc said a deal to lift tariffs is not expected to come out of the G7 summit.
Laing also expects to learn how the leaders are thinking about addressing vulnerabilities in the supply of critical minerals, many of which currently come from China and are vital inputs for semiconductors, chips and batteries.
At the same time, stakeholders are watching closely for any indication Canada is successfully diversifying trade away from the U.S.
After meeting with Trump on Monday, Carney also met with the President of the European Council, António Costa, and the President of the European Commission, Ursula von der Leyen.
And, on Sunday, Carney released a joint statement with U.K. Prime Minister Keir Starmer saying the two leaders look forward to discussions at the G7 summit on further trade collaboration.
“The U.K. is our third biggest trading partner,” said Pedro Antunes, chief economist at The Conference Board of Canada, yet “outside of gold, we have very little trade with the U.K.”
He added that Carney could use this opportunity to remind leaders of Canada’s manufacturing capacity and perhaps strike new trade deals with other nations.
“There’s other manufactured products and certainly a lot of other resources that we could possibly sell into the U.K. and Europe and others.”
With files from Tonda MacCharles
