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Market Chatter: Canada, U.S. Trade Systems "Don't Fit Together Very Well", says U.S. Trade Representative Greer

-- U.S. Trade Representative Jamieson Greer says there is a gap between the Canada and U.S. administrations' trade philosophies, Canada's CTV News is reporting Thursday.

It noted Greer made the comments at a U.S. House Ways and Means Committee hearing on U.S. President Donald Trump's trade agenda on Wednesday. "They've done this, but overall they've indicated that they want to be trading more, they want to have more trade agreements with more countries," Greer said, when asked whether Canada is taking the same steps as Mexico to better align with U.S. trade policy, specifically when it comes to rules of origin.

"They're doubling down on globalization when we're trying to correct for the problems of globalization," he added. "So those are two models that don't fit together very well."

Greer said he's raised his concerns with Canadian officials during his "regular contact" with them.

In a separate report, CTV News noted Prime Minister Mark Carney told reporters Wednesday the U.S. does not dictate the terms of free trade with Canada.

Responding to questions about ongoing Canada-United States-Mexico Agreement negotiations with the Americans, Carney said the Canadian delegation is aware of what the U.S. "would call trade irritants," and that "we have some on our side as well."

"We're well prepared around those issues. We will sit down and work through those issues with the broader approach in negotiations. We've made counter-proposals, of which they're aware," he said, without providing further detail. "And the time will come to really roll up our sleeves."

Earlier this month, CTV News noted, the U.S. compiled a list of sticking points on trade with Canada noting widespread embargoes on American liquor sales, Canada's agenda to reduce plastic waste, and dairy products. It also noted procurement rules in Ontario, Quebec and British Columbia that effectively exclude bids from U.S. firms. U.S. Commerce Secretary Howard Lutnick referenced those pain points during a Senate committee hearing in Washington on Wednesday.

(Market Chatter news is derived from conversations with market professionals globally, and/or from other media sources. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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