US and Canada Near Trade Deal to Cut Steel and Aluminum Tariffs to 25% and Auto Tariffs to 15%

The United States is moving toward a trade framework with Canada that would halve tariffs on Canadian steel and aluminum from 50% to 25% and reduce top-line automobile tariffs from 25% to 15%, according to people familiar with the talks. The steel and aluminum reductions would be accompanied by quota arrangements as part of the broader deal structure. The agreement is taking shape as a Friday deadline looms, and follows President Trump's decision to pause the existing 50% Canadian tariffs for three days to allow negotiations to continue.

A source familiar with the talks confirmed the expected tariff levels to reporters, with both governments working to finalize the framework before the pause expires.