US and Canada haggle over trade deal as midnight tariffs threat looms

The US and Canada are negotiating a trade deal as the threat of midnight tariffs persists. While Trump paused $20bn in new levies on the North American partner, officials remain optimistic about reaching an agreement. The proposed trade deal would introduce a steel quota accompanied by 25% tariffs. Although this arrangement could stabilize US-Canada trade relations, there are ongoing risks for both economies if these quotas and tariffs disrupt existing market dynamics during the implementation process.