Canadian Prime Minister Mark Carney said on Monday, 26 January, that he expects the trade pact’s review to be robust. Commenting further, he added that it is not a coincidence that U.S. President Donald Trump’s latest tariff threat is against Canada. It came just ahead of negotiations on renewing North America’s main free-trade pact.
Commenting further, Carney said in an unrelated announcement in Ottawa on Monday, 26 January, that the U.S. president is a strong negotiator and that he thinks that some of these comments and positioning should be viewed in the broader context of that.
In a social media post over the weekend, Trump referred to Carney as the “governor.” Trump threatened to impose 100% tariffs on Canadian goods if Ottawa reached a trade deal with China.
In subsequent posts, Trump wrote that China was successfully and completely taking over the once great country of Canada, adding that he only hopes that China leaves ice hockey alone!
During Trump’s first administration, Ottawa underwent an early stress test as they negotiated the Canada-U.S.-Mexico Agreement (CUSMA).
There had been tensions during the talks as Trump repeatedly threatened to impose tariffs. Ultimately, the agreement replaced the North American Free Trade Agreement. It was eventually signed, with all three countries hailing it as a success.
Minister responsible for Canada-U.S. Trade, Dominic LeBlanc, says he reiterated to U.S. Trade Representative Jamieson Greer that Canada would not enter trade discussions with countries with a non-market economy, as in CUSMA. This was following Canada’s recent trade deal with China. LeBlanc went on to express his reassurance that Ambassador Greer had a clear understanding of the agreement’s nature.
As Canada, Mexico and the U.S. prepare for the mandatory review, the agreement’s future tends to be much less certain now, with Trump adding earlier this month that the trade deal was ‘irrelevant’ to him.
