Trump had threatened to impose stiff new 50 per cent tariffs on a range of Canadian goods from Wednesday.

The United States and Canada signalled Wednesday they were close to finalising a comprehensive trade deal, after President Donald Trump paused implementing a new round of crippling tariffs.

“We’ve come to a deal with Canada,” Trump said Wednesday, adding that it’s “subject to finalisation of documents.”

Canadian Prime Minister Mark Carney remained more cautious, saying on social media that Ottawa and Washington “are now moving towards an agreement.”

Carney also applauded his minister of Canada-US trade, Dominic LeBlanc, and Trump’s top negotiator, United States Trade Representative Jamieson Greer, for “significant progress” in the negotiations.

LeBlanc, in a separate social media post, said he met again with Greer in Washington on Wednesday and the sides were “working collaboratively towards a finalized agreement.”

Trump had threatened to impose stiff new 50 per cent tariffs on a range of Canadian goods from Wednesday.

He announced a three-day delay hours before a midnight deadline, saying Canada and the United States had reached a deal.

Carney said late Tuesday that there remained work to do before the deal was final.

Details on a prospective agreement remain unclear.

Trump said Wednesday it would benefit US farmers, who have complained about restricted access to Canadian markets.

Carney said the deal secures “the best terms in each of Canada’s most important strategic sectors and (provides) greater certainty about our future trading relationship.”

Trump’s tariffs on autos, steel, aluminum and forest products have hurt Canada’s economy. Securing relief from those duties has been a priority for Ottawa through weeks of negotiations.

Canada on July 1 also confirmed it wanted to renew the existing North American free trade agreement, but Trump declined to do so, demanding substantial changes.

The sides have been engaged in intense talks for weeks on a revised agreement.