U.S. tariffs on Canadian imports are likely to stick around for a while even though leaders say the cross-border mood is improving, America’s new ambassador in Ottawa signaled on Sunday.

The comment came just as Washington was also claiming headway in a separate negotiation with Beijing. Peter Hoekstra, who became U.S. envoy to Canada last month, told Global TV’s “The West Block” that President Donald Trump’s 25 percent duty placed on most Canadian goods in March may not disappear soon.

“I’m not sure they’ll be totally removed,” Hoekstra said when asked about the levy, which the White House has justified by linking fentanyl trafficking to Canadian supply chains.

Customs data indicate that less than 1 percent of the fentanyl seized at U.S. borders arrives from Canada, though officials say some production does take place north of the border.

Hoekstra’s remarks followed a fresh trade pact between Washington and London that offered the United Kingdom only limited relief on car, steel, and aluminum duties while keeping a 10 percent base tariff on British imports.

The ambassador stressed that Canada and the United States can move past months of tension during which Trump urged Canada to become the “51st state” and mocked then-Prime Minister Justin Trudeau as “Governor Trudeau.” The president struck a more cordial tone last week when newly elected Prime Minister Mark Carney visited the White House.

“I think the president wants a very positive relationship,” Hoekstra said. “We have moved beyond the 51st state, at least as far as I’m concerned.”

Substantial progress has been made in US-China tariff deal

While the North American discussion played out, senior U.S. and Chinese officials were working behind closed doors in Switzerland on the deepest trade rift of all. After two days of meetings in Geneva, both sides said on Sunday that they had made real progress.

U.S. Treasury Secretary Scott Bessent called the sessions “productive and constructive.” China’s Vice Premier He Lifeng used the words “in-depth” and “candid” to describe the talks, the first face-to-face encounter since Mr. Trump hit Chinese goods with a 145 percent tariff in January. Beijing had replied with its own 125 percent charge on certain American products, jolting financial markets and raising fears of a global downturn.

Full details of the Geneva discussion are to be released jointly on Monday. Still, the tone from negotiators was upbeat. U.S. trade representative Jamieson Greer said “the deal we struck with our Chinese partners” would help narrow America’s 1.2 trillion-dollar trade deficit.

Bessent reported “substantial progress” on lowering the temperature of the dispute, while He Lifeng told reporters that the outcome was “of great significance to the two countries but also has an important impact on the stability and development of the global economy.”

Ngozi Okonjo-Iweala, inspector general of the World Trade Organization, welcomed the breakthrough. “I urge both nations to build on this momentum by continuing to develop practical solutions that mitigate tensions, restore predictability, and strengthen confidence in the multilateral trading system,” she said in a written statement.

Trump, commenting after the first day of the meetings, praised what he called a “total reset” in relations. In a social-media post on Saturday, he said the talks were “very good” and that change had been “negotiated in a friendly, but constructive, manner.”

Cryptopolitan Academy: Coming Soon - A New Way to Earn Passive Income with DeFi in 2025. Learn More