What does Donald Trump want most from Canada? “Friendship,” he said during his meeting Tuesday with newly elected Prime Minister Mark Carney. But while their IRL encounter was civil enough, don’t expect matching friendship bracelets any time soon.
Trump again taunted Canada about the benefits of being “the 51st state” and shot down Carney’s reply that his country would “never be for sale.” Carney, who won Canada’s election last week after a stunning political comeback fueled largely by Trump’s aggression towards Ottawa, said his administration was committed to boosting investment in Canadian security.
But despite all the posturing, no progress was made in calming a trade war that affects $800 billion in annual commerce. US tariffs of 25% remain in place on steel, aluminum, and cars that do not comply with NAFTA, as do Canadian retaliatory measures of 25%.
Although Trump has stopped short of applying his promised “reciprocal tariffs” on Canada so far, uncertainty about US economic policy has Canadian manufacturers hunting for other markets (they currently send 75% of their exports to the US) while both sides gear up to renegotiate their USMCA trade agreement in 2026.