India, Aug. 19 -- Negotiations between Canada and the United States have intensified amid rapidly fading hopes for a comprehensive trade agreement, as both nations approach a midnight deadline that threatens to unleash sweeping 50 per cent tariffs on a vast array of Canadian exports. If negotiators fail to bridge their differences, goods ranging from lumber and dairy to cement and hockey equipment will face punitive new duties at the border, threatening integrated supply chains and escalating bilateral economic tensions.

What Are the Core Sticking Points Driving the Impasse?

The primary obstacle in the eleventh-hour discussions centres on stringent automotive sector rules and tariff thresholds. According to individuals familiar with the...