Canada is also keen to continue talks with China to address trade challenges
\n Buenos Aires
\nCanada\u2019s International Trade Minister said on Thursday that there was interest from both sides to advance trade talks with the South American bloc Mercosur, as Ottawa seeks new deals in a push to diversify from the US.
\nPrime Minister Mark Carney and his team have been locked in talks with US President Donald Trump to hash out a trade deal by August 1, which could help reduce tariffs on Canada.
\nBut his government is also preparing to rely less on a relationship that generated bilateral trade of over C$1 trillion ($727.33 billion) last year and to focus on diversifying trade by signing free trade pacts globally.
\n\u201cI had conversations with the foreign minister of Brazil, and there is an appetite to carry out conversations around Mercosur,\u201d Minister Maninder Sidhu said in an interview with Reuters.
\nBrazilian President Luiz Inacio Lula da Silva had said in April that he was interested in advancing talks for a trade deal between South America\u2019s Mercosur bloc and Canada.
\nMercosur\u2013which includes Brazil, Argentina, Paraguay and Uruguay\u2013has had negotiation rounds for a trade deal with Canada in the past.
\nCanada is also keen to continue talks with China to address trade challenges and views a thawing of relations between India and Canada as an important step to support trade, the Minister said.
\n\u201cWith China, there are opportunities, there are challenges,\u201d he said, adding that the countries are holding frank discussions on a path forward on trade tariffs around exports of canola, beef, pet food and many other products.
\nCanada has 15 free-trade deals covering 51 countries, giving it access to 1.5 billion consumers and Sidhu said that Ottawa will be pursuing more such deals in the coming months without giving a specific target.
\nHe had signed a free trade deal with Ecuador and an investment promotion pact with the UAE in his first two months in office and said discussions are on with the ASEAN countries and also individually with countries in the Indo-Pacific, including Indonesia and the Philippines.
\nSidhu said Canadian companies are over-exposed to the US and they are not as competitive as they used to be due to Trump\u2019s tariffs.
\n\u201cMy job is to be out there opening doors,\u201d he said, adding that he would seek to diversify not only trade but Canada\u2019s defense procurements from the U.S.
\nCarney has promised to increase defense spending by an additional C$9 billion this year to meet NATO\u2019s target of spending 2% of GDP.
\n\u201cWe are working with the European Union and other partners around the world to help unlock some of those procurement opportunities in defense for our Canadian companies,\u201d he said.
\nCanadian exports to the US dropped in May to 68% of total exports from a monthly average of 75% last year. The US share in May was the lowest on record as companies pushed to diversify from the US.
\nHe did not respond directly on what a trade deal between Canada and the US would look like, but said the government would \u201cwork towards a deal that\u2019s best for Canadian businesses and Canadian workers.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Canada is also keen to continue talks with China to address trade challenges Buenos Aires Canada\u2019s International Trade Minister said on Thursday that there was interest from both sides to advance trade talks with the South American bloc Mercosur, as Ottawa seeks new deals in a push to diversify from the US. Prime Minister Mark […]<\/p>\n","protected":false},"author":2,"featured_media":491194,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"class_list":{"0":"post-491172","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-world"},"yoast_head":"\n