The Globe and Mail reports in its Thursday edition that Canada and the United States are exchanging potential terms of agreement in closely held talks on an economic and security deal. The Globe's Steven Chase writes that these exchanges are an effort to spell out what both sides might be able to agree upon as Ottawa and Washington try to find enough common ground to end their damaging trade war. One source compared the documents being exchanged with term sheets in the corporate sector, which outline the ingredients of a possible deal and serve as the basis for negotiations. These talks could amount to a first phase, with the second phase being the renegotiation of the Canada-U.S.-Mexico agreement already scheduled for 2026. Canada and the United States are talking about working together to counter China's unfair trade practices, a topic that could affect U.S. tariffs on Canadian steel and aluminum, and further border security arrangements to stop the illegal distribution of fentanyl. The current U.S. levies on Canada include 50-per-cent tariffs on Canadian steel and aluminum, as well as a 25-per-cent tariff on Canadian-made vehicles, which applies only to the non-U.S. content in those cars and light trucks.