U.S. Commerce Secretary Howard Lutnick Critiques Canada Ahead of Trade Talks

Howard Lutnick, the U.S. Secretary of Commerce, expressed strong disapproval of Canada’s trade negotiation strategies during a recent conference organized by Semafor in Washington, D.C. As discussions prepare to review the U.S.-Mexico-Canada Agreement (USMCA) this year, Lutnick stated, “They suck,” referring to Canada’s approach. He dismissed the suggestion from a former Canadian trade official that Canada could benefit from a slower negotiation pace, labeling it “the worst strategy I ever heard.” Lutnick emphasized the significance of the U.S. economy, stating, “We are a $30 trillion economy,” and criticized Canadian Prime Minister Mark Carney for seeking trade opportunities with China, questioning the viability of such a strategy.

SemaforNew York Times

A spokesperson for the Department of Commerce clarified Lutnick's remarks, asserting that he was highlighting America's trade imbalance with Canada. The spokesperson stated, “Secretary Lutnick, describing our unfair trade imbalance with Canada, explained how Canada sucks off of our $30T economy.” Lutnick further articulated that while some aspects of the trade relationship with Canada and Mexico are fundamental, the overall trade deal is flawed, asserting, “It needs to be reconsidered and reimagined correctly.”

SemaforNew York Times

Lutnick's comments come as U.S. Trade Representative Jamieson Greer prepares to announce the U.S. position on the USMCA by June 1, ahead of the deadline for extending the agreement. Nearly 40 senators from both parties have urged Greer to ensure that the review process reinforces the stability and opportunities that the USMCA provides for American farmers, ranchers, and rural communities. Lutnick's assertion that President Donald Trump views the current USMCA as “a bad deal” indicates potential shifts in U.S. trade policy that could impact Canada significantly.

Semafor

Critics of Lutnick's remarks, including former Canadian trade chief Steve Verheul, argue that the pressures on the U.S. are likely to increase, suggesting that Canada’s strategy may be more effective than Lutnick acknowledges. Verheul, who helped draft the USMCA, has indicated that the complexities of trade relationships necessitate a more nuanced approach than the one Lutnick advocates.

Semafor

While Lutnick's comments reflect a strong stance against Canada, there is a lack of clarity regarding the specific terms and conditions that the U.S. intends to pursue in the upcoming negotiations. The absence of detailed proposals from the U.S. side raises questions about the future of the USMCA and its implications for both countries.

Semafor

• “they suck.” — Howard Lutnick, U.S. Secretary of Commerce

New York Times

• “That is like the worst strategy I’ve ever heard. They suck. They — look, we are a $30 trillion economy, right?” — Howard Lutnick, U.S. Secretary of Commerce

Semafor

• “It needs to be reconsidered and reimagined correctly.” — Howard Lutnick, U.S. Secretary of Commerce

Semafor