WASHINGTON (Reuters) -U.S. Commerce Secretary Howard Lutnick said on Thursday that a 35% tariff on all Canadian goods not covered by the U.S.-Mexico-Canada trade agreement is still "surely in the cards," ahead of an Aug. 1 deadline imposed by President Donald Trump.

Lutnick said in an interview on Fox Business Network's "Kudlow" that Canadian Prime Minister Mark Carney could still convince Trump to back down.

"If he makes that call, and if he starts turning on the charm, and if he takes off his retaliation ... and stops the silliness, maybe the president will let it down a bit," Lutnick said. "But right now, 35%, that letter he sent, is surely in the cards."

Trump sent a letter to Carney in July saying the U.S. would impose a 35% tariff on Canadian goods as of Aug. 1. The two sides have been working on negotiating a trade deal by that deadline, but Trump said last week they may not be able to reach a negotiated deal, suggesting the unilateral tariff rate could be imposed.

Earlier this week, Carney said talks were at an intense phase, while reiterating that a deal that would remove all U.S. tariffs was unlikely.