'We're very close,' LeBlanc says of tariff deal after hours-long meeting with U.S. officials

Canada-U.S. Trade Minister Dominic LeBlanc held what is believed to be his longest meeting to date with American officials in Washington as both sides push to finalize a deal that will deliver tariff relief for hard-hit Canadian industries and restore U.S. alcohol sales in province-run liquor stores.

LeBlanc, who has been back and forth between Ottawa and Washington over the last few days to nail down the finer points of what could be a substantive bilateral agreement, was tight-lipped with reporters about what exactly was accomplished behind closed doors with U.S. President Donald Trump's top trade official, Jamieson Greer. But he said there's been some positive developments.

"We continue to do the important work Canadians expect us to do. We had a long, detailed meeting with Ambassador Greer and his colleagues," LeBlanc told reporters after wrapping up the nearly three-hour meeting, which was initially expected to only last about 30 minutes.

"Canadians expect us to get a deal that's in the economic interest of Canada and Canadian workers. We're very close and we continue to make progress," he said.

Trade minister says officials are 'very close' to finalizing Canada-U.S. trade deal

Trump expected to slash tariffs on Canadian goods, Carney asks premiers to put U.S. booze back on shelves

While none of the details of what's being considered have been made public, a source with knowledge of the forthcoming agreement said U.S. tariffs on Canadian steel and aluminum are being lowered from 50 per cent to 25 per cent. Discussions regarding derivatives and exemptions are ongoing.

The deal is also expected to cut Trump's headline tariff rate on Canadian-built cars and trucks from 25 per cent to 15 per cent, a source said. If the tariff applies only to the non-U.S. portion of a vehicle, which is the working assumption, then the effective rate would drop by up to half (7.5 per cent).

CBC News agreed not to name the sources because they were not authorized to speak publicly.

In exchange for slashing those tariffs, the Americans are expecting at least two things in return: an end to the boycott on U.S. alcohol in most provincially owned liquor stores and the lifting of provincial restrictions on American firms competing for government business in this country.

Both actions, launched after Trump initiated a trade war last year with steep tariffs on Canadian industrial products, have been highly effective, decimating American liquor sales in Canada and blocking many U.S. companies from successful procurement bids.

J.P. Tasker is a journalist in CBC's parliamentary bureau who reports for digital, radio and television. He is also a regular panellist on CBC News Network's Power & Politics. He covers the Conservative Party, Canada-U.S. relations, Crown-Indigenous affairs, health policy and the Senate. You can send story ideas and tips to J.P. at [email protected]