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U.S. President Donald Trump’s point man on trade is justifying the plan to slap new tariffs of 50 per cent on many Canadian products as part of a broader strategy aimed at reducing the U.S. trade deficit.
The trade deficit, which hit $1.2 trillion US in 2025, is a “national emergency,” U.S. trade representative Jamieson Greer told a Senate finance committee hearing on Wednesday.
“That national emergency still persists, and so our policy remains the same,” Greer said. “We are committed to continuing to use tariffs and to negotiate deals to support the re-industrialization of our economy, protect American workers and increase their wages and shrink our trade deficit.”
Following the hearing, CBC News asked Greer to explain the timing of Trump’s move to put new tariffs on Canadian products ranging from plywood to milk.
“This is something that’s been in preparation for some time,” Greer told CBC’s Katie Nicholson.
He said the tariffs are “very tailored” to respond to Canadian trade actions that affect the U.S. alcohol, dairy and auto sectors.
WATCH | What Greer told U.S. senators:
Greer hopes to have ‘options’ ready on trade with Canada, Mexico this year
U.S. trade representative Jamieson Greer says he hopes to have ‘options’ for President Donald Trump and the ‘leaders of Canada and or Mexico to consider’ by the end of the year around the critical trade deal known as CUSMA in Canada and USMCA in the U.S.
“We have tried for over a year to get the Canadians to eliminate these things.”
“We’ve given them the best treatment available in the world in the past year or so, and despite that, they’ve still taken these actions, so we thought it was necessary to elevate this.”
During the committee hearing, several Democrat senators gave Greer heat over the tariffs, which are due to take effect on Aug. 19 and apply to some $20 billion US worth of Canada’s annual exports.
Greer wants ‘options’
Greer also faced questions on the status of the broader renegotiation of the Canada-U.S.-Mexico Agreement (CUSMA).
He said he is hopeful of having “options” for some form of deals with both Canada and Mexico in 2026.
“I would love to have, between now and and the end of the year, at least some arrangements, one with Canada, one with Mexico,” Greer said.
“I’m hopeful that before the end of the year, we can have at least options for President Trump and the leaders of Canada and/or Mexico to consider.”
Sen. Ron Wyden, the top Democrat on the committee, accused the administration of having “lost the plot” on tariffs.
“Just a few days ago, Canada, our closest neighbour, basically learned they were going to get 50 per cent tariffs. At the same time, when it comes to China, one of the biggest trade cheats there is, it seems that the administration rolls out the red carpet,” Wyden told the hearing.
Some Canadian goods face higher tariffs than China
Greer pushed back on Wyden’s claim that the Trump administration is giving China more favourable trade terms than Canada. He said only “a small handful” of Canadian products will face higher tariffs than those that originate in China.
He also disputed other Democratic senators’ concerns that the latest tariff move against Canada will hurt U.S. farmers and exporters’ access to Canadian markets or face Canadian retaliation.
“I talked with my Canadian counterpart yesterday. They did not say they’re going to retaliate,” Greer said. Although he did not name his “Canadian counterpart,” Greer’s equivalent in Ottawa is Canada-U.S. Trade Minister Dominic LeBlanc.
