Trump says US and Canada have a trade deal, but key terms remain unclear

Canada and the United States are nearing completion of a trade agreement that would avert threatened 50% U.S. tariffs, according to a senior Canadian official. The terms of the deal, described as "a very good deal for Canada" by the official, still need to be finalized. President Donald Trump has expressed optimism that the agreement will benefit U.S. farmers and manufacturers.

The trade dispute stems from Canada's supply management system, which is said to limit the market access of American dairy producers. The senior Canadian official reiterated that supply management will remain protected under the agreement. The U.S. has been demanding greater access to Canadian markets for its agricultural products, particularly dairy.

The agreement would also provide greater certainty and protect Canada's dairy sector and jobs threatened by the new tariffs.