Talks were also hung up on US demands to eliminate dispute-resolution panels that Ottawa considers essential, two Canadian officials said Friday.
Canadian Foreign Minister Chrystia Freeland told reporters on Friday afternoon that the USA and Canada will continue to work toward a deal.
However, a spokeswoman for USTR said Canada had made no concessions on agriculture, which includes dairy, but added that negotiations continued. However, many economists believe that Nafta has been a positive thing for the US, Canada and Mexico.
Canada's lead negotiator and Foreign Minister Chrystia Freeland is scheduled to hold a press conference at 4:30 P.M. Eastern Time on Friday (2030 GMT). ABC News reports Trump confirmed the leak in both a tweet and while at an event Friday in Charlotte, North Carolina, saying: "I love Canada but they have taken advantage of our country for many years".
However, Trump hinted that the Friday deadline may be flexible, saying that a deal with Canada may come that day, or "within a period of time". For various political reasons on both sides of the Rio Grande, it was critical that the trade deal be officially presented to Congress by end of the week, so getting Canada on-board became an immediate priority.
Any deal with Canada would be "totally on our terms", Trump was quoted by the Star as saying. They argue that increased trade has lowered prices for consumers in all three countries and created jobs from increased trade.
For what it's worth, Bloomberg tells Axios that their reporters abided by the terms of the off-the-record agreement with the president. On 'The Story, ' Univision News anchor Enrique Acevedo says the deal is a win for Mexico. And his team said it preferred bi-lateral, or two-way, deals with each of Canada and Mexico. We are not there yet."Trump has also threatened to enact another round of tariffs on Canada's auto sector if the two traditional economic allies are unable to reach a deal".
"Wow, I made OFF THE RECORD COMMENTS to Bloomberg concerning Canada, and this powerful understanding was BLATANTLY VIOLATED", Trump wrote.
"Canada's going to make a deal at some point".
Trump argues Canada's hefty dairy tariffs are hurting US farmers, an important political base for his Republican Party - though his tariff actions against China have virtually eliminated USA soybean sales there.
Several officials in Canadian Prime Minister Justin Trudeau's government reacted furiously to Trump's comments, according to the Star.
The sticking point is Canada's demand to retain an independent trade dispute mechanism within Nafta - an issue Lighthizer reportedly refused to budge on, despite repeated offers of concessions from Canada, according to the report.