Ottawa, Canada - Prime Minister Mark Carney said that Canada and the US are in "intensive" trade negotiations, but cautioned against raising expectations.

Carney's comments came in response to a Globe and Mail report saying a trade deal with President Donald Trump on steel, aluminum, and energy could be ready to sign within days.

"We'll see, we're in intensive negotiations," Carney told reporters in Ottawa. "We are in ongoing discussions with the Americans, and I wouldn't overplay it."

Roughly 85% of cross-border trade in both directions remains tariff-free as the US and Canada continue to adhere to an existing North American trade deal called the US, Mexico, Canada Agreement (USMCA).

Trump's tariffs on steel, aluminum, and vehicles, have hit Canada especially hard, though, forcing job losses and squeezing businesses.

Carney's office declined to provide the AFP with any additional comment on the nature of a potential deal with the US, which is expected to be signed this month.

Since meeting with Trump in an Oval Office visit characterized by a surprisingly friendly tone, Carney has faced repeated accusations of caving to US demands.

In particular, Carney's response to Jeep-manufacturer Stellantis' move from Ontario to Illinois triggered outrage in Canada.