White House Adviser Says US-Canada Trade Deal Is Close
A statement from a senior White House economic official signals that bilateral trade negotiations, which have been a defining feature of US-Canada relations since 2025 tariff disputes, may be...
White House economic adviser Kevin Hassett said on October 25, 2026, that US trade negotiations with Canada are "gathering steam" and that the two countries are close to reaching a deal, according to a Bloomberg report citing a Hassett interview with Fox News.
Hassett serves as Director of the National Economic Council, a position that places him among the principal advisers coordinating US trade and economic policy within the executive branch. His comments represent the most direct public signal from the White House that bilateral talks have advanced materially.
The Bloomberg report did not specify which sectors or tariff categories are covered in the current negotiation framework, nor did it identify a target date for a formal agreement. The scope of any deal, including whether it would require congressional approval or could be implemented through executive action, is not yet known from public disclosures.
US-Canada trade is among the largest bilateral trade relationships in the world. According to the Office of the United States Trade Representative, Canada was the top destination for US goods exports in recent years, with two-way goods trade exceeding $700 billion annually in prior reporting periods. Any agreement affecting tariff schedules on goods in that volume would carry significant economic consequences for industries in both countries.
Congress holds constitutional authority over tariffs under Article I, Section 8. However, presidents have negotiated and implemented trade measures through executive authority granted under statutes including Section 232 of the Trade Expansion Act of 1962 and Section 301 of the Trade Act of 1974. Whether any forthcoming US-Canada agreement would require legislative action or congressional notification depends on its legal structure, which has not been disclosed publicly.
The US and Canada were previously bound by the United States-Mexico-Canada Agreement, which took effect in July 2020 and replaced the North American Free Trade Agreement. Any new bilateral arrangement would need to be assessed for consistency with USMCA obligations, a question that trade lawyers and the Office of the US Trade Representative would need to address formally.
Hassett did not disclose in the Fox News interview which specific tariffs or trade barriers are under negotiation, according to the Bloomberg report. It is also unknown whether Mexico, the third USMCA partner, is party to any parallel discussions or whether the current talks are strictly bilateral between Washington and Ottawa.
No congressional statement responding to Hassett's comments was available in public records as of October 25, 2026. The Senate Finance Committee and the House Ways and Means Committee hold primary jurisdiction over trade legislation, and neither committee had issued a public statement on the reported talks as of the time of publication.
The timeline for any formal announcement remains unknown. Documents that would clarify the scope and legal basis of any agreement include a formal trade notification to Congress under Trade Promotion Authority procedures, Federal Register notices of any tariff modifications, and any text of a bilateral agreement released by the Office of the United States Trade Representative.