Prime Minister Mark Carney arrives at the Office of the Prime Minister and Privy Council in Ottawa on the morning following the Liberal Party's victory in the Canadian federal election on Tuesday, April 29, 2025. The Canadian Press


May 02, 2025 Tags:

U.S. President Donald Trump announced on Wednesday that Canadian Prime Minister Mark Carney will visit the White House within the next week. Trump described Carney as "a very nice gentleman" and made these remarks in response to a reporter’s question about the ongoing relationship between Canada and the U.S. This visit is set to take place amid strained ties between the two countries.

Ongoing Trade Tensions

For months, Canada and the U.S. have been engaged in a trade war, affecting a wide range of goods, from groceries to auto parts. Trump has also made several public remarks suggesting Canada should become a U.S. state, referring to former Prime Minister Justin Trudeau as “governor.” These comments have caused tension, with trade wars and tariffs damaging the relationship between the two nations.

During the recent federal election, dealing with Trump and the U.S. became a major issue. Carney, as the Liberal candidate, pledged to build stronger trade relationships with other countries to reduce Canada’s reliance on the U.S.

Carney and Trump’s Agreement

After his election victory, Carney and Trump spoke about continuing trade negotiations. Trump called Carney up on Wednesday to congratulate him on his win, adding, “Let’s make a deal.” Both leaders agreed on the importance of maintaining a cooperative relationship between their two countries.

Carney’s office released a statement saying that the leaders agreed to work together for mutual benefit, while respecting each country’s sovereignty. This will likely lead to discussions about reworking the Canada-United States-Mexico Agreement (CUSMA), a key trade document between the countries.

Strategic Meeting: Public Perception Matters

Liberal strategist Geoff Turner suggested that Carney’s team should think carefully about how to approach this meeting. In an interview, Turner emphasized the importance of optics and how the meeting is perceived by the public. If Carney and his team aren’t careful, the situation could turn into a public relations disaster, similar to the experience of Ukraine President Volodymyr Zelenskyy, who was harshly criticized by Trump during his visit in March.

Turner also warned against any informal meetings, saying, “No Mar-a-Lago. No fireside chat.”

The Ongoing Trade War

The U.S. and Canada are still in the midst of a trade war, with the U.S. imposing tariffs on a wide range of Canadian goods. These tariffs have included a 25% tax on Canadian steel and aluminum, as well as 25% on automobiles that aren't covered under CUSMA. The U.S. has also introduced temporary rebates for car companies that finish their cars in the U.S. to ease the impact of these tariffs.

In response, Canada has imposed its own tariffs on various goods, including steel, aluminum, juice, spirits, and cosmetics. This has led to unpredictable effects on the stock market and production plants, with some automakers pausing production or laying off workers due to the uncertainty surrounding the tariffs.

Looking to the Future

In his victory speech, Carney emphasized that Canada would need to diversify its economic relationships. He said that the old relationship with the U.S., one based on increasing integration, is over. He described this as a tragedy but also a new reality for Canada.

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