Newly elected Canadian Prime Minister Mark Carney has declared that the era of deep economic integration and close cooperation with the United States has come to an end. His statement follows U.S. President Donald Trump’s decision to impose a 25% tariff on Canadian-imported vehicles and parts, which Carney described as the final blow to old trade agreements.
Speaking after a cabinet meeting in Ottawa, Carney stressed that Canada must “fundamentally reimagine its economy” to adapt to the new trade reality. He also announced retaliatory tariffs designed to have a “maximum impact” on the U.S. economy while minimizing harm to Canada.
Currently, Canada has imposed tariffs worth 60 billion Canadian dollars in response to previous U.S. tariffs on Canadian steel and aluminum. The new car tariffs will take effect on April 2, with those on auto parts expected to follow in May. Carney has prioritized addressing this trade crisis, vowing immediate action to safeguard Canada’s economic interests.
As trade tensions escalate, relations between Canada and the U.S. continue to deteriorate, affecting both economies and increasing uncertainty in global trade.
