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Trump and Trudeau take more light-hearted Twitter tone

The most recent Twitter banter between the leaders of the U.S. and Canada suggest the two countries might be smoothing out trade differences.

Over the weekend, President Trump jokingly tweeted that Canada had agreed to drop all tariffs against the U.S.

Canadian Prime Minister Justin Trudeau responded by saying NAFTA talks were in good shape, prompting Trump to recommend bilateral negotiations rather than push ahead with Mexico.

Last week, Ag Secretary Sonny Perdue told reporters the Trump Administration has been floating bilateral deals instead of a trilateral NAFTA.

Canadian officials have consistently said they are eager to secure a deal between all three countries.  However, Canada’s supply management system for dairy remains a major sticking point.

Perdue recently met with his Canadian counterpart Lawrence MacAulay, saying afterwards the U.S. isn’t asking Canada to drop its system, just manage it better.  Canadian producers argue the U.S. is depressing global milk prices by producing excess supplies.

Throughout the month, President Trump has tweeted about Canada’s trade barriers on U.S. ag products, saying it’s not acceptable and that changes will occur by the time he finishes negotiations.