Talks between the United States and Canada remain deadlocked over several contentious issues, including Canada's dairy sector, its rules governing movies, books and other media, and a mechanism for settling trade disputes between the two countries, people briefed on the talks said.
On Friday morning, the United States trade representative put out a statement saying that Canada had yet to make any concessions on dairy products, which has become a source of ire for Mr. Trump.
"The negotiations between the United States and Canada are ongoing," a spokeswoman for the United States trade representative said in a statement. "There have been no concessions by Canada on agriculture."
Arriving for a meeting with Mr. Lighthizer on Friday morning, Ms. Freeland said that she was looking forward to hearing what he had to say after a night of reflection. But after a meeting that lasted more than an hour, it appeared that the two sides were no closer to a deal.
"We are not there yet," Ms. Freeland told reporters outside of the office of the United States Trade Representative. "Canada is a country that is good at finding win-win compromises -- having said that, in trade negotiations, in this negotiation, we always stand up for the national interest and that is what we're going to continue to do."
Negotiators have been working around the clock to hammer out their final areas of disagreement but talks have bogged down over several areas of disagreement.
Canada has insisted on protections for its publishing and broadcasting industries over concerns that these businesses would be overwhelmed by the much larger United States market. It has also resisted Mr. Trump's requests to reform its dairy industry. Unlike the United States, which directly subsidizes farmers, Canada uses a so-called supply management system to regulate the volume of imports and keep prices stable for its farmers.
Canada has allowed foreign countries more access to its dairy market in past trade agreements, and agricultural experts said negotiators were prepared to make similar offers in the current Nafta negotiations. However, those offers have fallen short of the broad access and substantial reforms the Trump administration has called for.
The countries are also sparring over a provision of Nafta known as Chapter 19, which allows foreign countries to appeal the duties that the United States levies on them for dumping and unfair subsidies. U.S. officials confirmed that they had eliminated the provision in their agreement with Mexico, but Canadians have insisted it is necessary to protect industries including lumber from unfair rulings in the United States.
Canada, like Mexico, has also been working to find a way to get the United States to lift the tariffs that it imposed on steel and aluminum.