US-Canada deal to cut top-line autos tariffs to 15%, halve steel and aluminum duties, source says
SPY•Negotiations continue ahead of Saturday deadline
Negotiations over the emerging deal, which staved off new 50% U.S. tariffs on Wednesday, are expected to continue ahead of a new deadline at 12:01 a.m. EDT (0401 GMT) on Saturday and the details could change.
Proposed tariff reductions under the U.S.-Canada deal
A U.S.-Canadian trade deal still under negotiation is expected to cut President Donald Trump's top-line tariff rates on Canadian-built cars and trucks to 15% from 25% and halve the top-line tariff rates on Canadian steel and aluminum to 25%, a source familiar with the talks said.
The reduction in steel tariffs is also expected to come with a volume quota arrangement, but details were not immediately available. The 15% top-line autos tariff also would come before deductions for the value of U.S.-produced content, bringing the effective rate substantially lower, the source told Reuters.
