Canada’s Carney links Trump’s new tariff threat to North American trade deal review
Asked about Trump’s 100% tariff threat, Carney said the North American trade deal is up for review and Trump is a tough negotiator. PHOTO: REUTERS
Canadian Prime Minister Mark Carney on Monday downplayed United States President Donald Trump’s latest tariff threat against Canada, saying the comments should be viewed with an eye toward an upcoming trade deal review.
Asked about Trump’s threat to impose 100% tariffs on Canadian imports should Ottawa finalise a new trade deal with China, Carney told reporters that the S
“I think some of these comments and positioning should be viewed in the broader context of that,” Carney said.
Trump has so far adhered to most of the existing United States-Canada-Mexico Agreement (USMCA), which the president negotiated and praised during his first term.
Canada has been hit hard by Trump’s sectoral tariffs — especially in the auto, steel and aluminium sectors — but more than 85% of bilateral US-Canada trade has remained tariff-free through the ongoing trade war.
Read More: Trump escalates feud with Carney after Davos dust-up
Substantial changes to the USMCA could upend the Canadian economy.
The USMCA review set for the first half of this year comes as Trump has escalated his rhetorical attacks on Carney.
The Canadian prime minister delivered a blistering denunciation of US global leadership at last week’s World Economic Forum in Davos, earning a rare standing ovation and capturing global headlines.
Trump shot back in his own Davos address, telling Carney to watch his words, as “Canada lives because of the United States”.
Carney slapped down that claim but has broadly sought caution when replying to Trump’s inflammatory remarks.
Trump called Carney “governor” in a social media post over the weekend, reviving an insult he directed at former prime minister Justin Trudeau — who Trump said was leading the 51st US state, rather than an independent country.
Carney was asked today if he was offended by being called governor.
“In this role, you get called a lot of things,” Carney said. “I’m not going to comment on every tweet … I can handle it.