Kathmandu— Canadian Prime Minister Mark Carney has stated that his government is ready to sign a trade deal with the United States that benefits both countries. Speaking in Thunder Bay, Ontario on Thursday, Carney emphasized that any agreement must ensure stability and credibility for Canadian workers, families, and businesses while also benefiting American counterparts.

Trade Negotiations Breakdown

The recent collapse of trade negotiations between the US and Canada last month led to significant tariffs. The US imposed 50 percent tariffs on $20 billion worth of Canadian goods, with Ottawa planning retaliatory measures set to take effect next week. Additionally, the US has threatened a 50 percent tariff on all Canadian cars and car parts from January 1.

Carney's Response

In response to comments by US Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent that Canada walked away from the deal due to domestic politics, Carney dismissed these claims. He stated, “I don’t think, with all respect, appointed, unelected cabinet members in the United States are experts on Canadian politics.” Carney also noted a recent softening of the US stance towards trade negotiations.

Economic Shifts

The US is Canada’s largest trading partner, historically receiving nearly 80 percent of its exports. However, since President Trump imposed tariffs last year, Ottawa has been working to reduce this dependence. In July, the US accounted for 66.35 percent of Canada's total exports, down from 72.64 percent a year ago.

Carney also announced plans to spend $3.4 billion on building and maintaining over 300 Via Rail passenger rail cars in Canada, using facilities in Quebec and Thunder Bay.

(With inputs from Al Jazeera)

Originally published on abcnews.com.np.