Political news and analysis for Canadians

Category: Trade (Page 19 of 19)

Allies forge alternate partnerships, realizing they can no longer depend on the U.S.

The only remaining U.S. aircraft carrier patrolling the Pacific departed Asia through Singapore last week en route to the Middle East, marking the latest step in a steady drawdown of American military assets across the region, reports Michael Wilner for the LA Times.

The Trump administration’s snub of South Korea has America’s allies in Asia rethinking how much they can depend on the U.S. — and looking to each other to reduce their reliance on Washington, reports Phelim Kine at Politico.

Trump said this week he is cutting back joint military exercises with South Korea, and announced Wednesday that he will meet with North Korean leader Kim Jong Un later this year. That is pushing countries in Asia to accelerate their defence spending and forge alternate partnerships, according to Asian diplomats and others familiar with discussions among regional governments.

Americans think tariffs will tear Canada apart. The evidence proves them wrong

“As long as the president retains sole discretionary authority to impose tariffs, the threat remains. Remember that Canada had an agreement, incorporated into the current USMCA and ratified by Congress, to restrain the use of Section 232 tariffs. The failure of that agreement is a precedent to guide all future dealings with the U.S., including those conducted after Mr. Trump leaves office.”

“The lesson for Canada now facing a U.S. armed with “divide and conquer tariffs” is that Canadian solidarity, while strong, is not something governments can simply assume; it must be built by informing Canadians of what is at stake,” write and at the Globe and Mail.

“Canadians seem willing to accept that one province may sometimes have to give something up for another, but they want to know the bargain is reciprocal: who is carrying the cost, who benefits, and what comes back to the province making the concession. Without that clarity, what is meant to look like a national strategy can quickly feel like one province being asked to take one for the team. That’s a guaranteed winning proposition for a U.S. administration hostile to Canada.”

Prime Minister Carney tells the first ministers that Canada is looking for ‘greatest possible’ access to U.S. market.

Prime Minister Carney briefed all 13 provincial and territorial premiers on the state of Canada-U.S. trade talks.

Some details are starting to spill out:

  • Prime Minister Mark Carney has asked the provinces to return American alcohol to store shelves, and to not specifically exclude the U.S. from their procurement policies, according to Nova Scotia Premier Tim Houston.
  • A source with knowledge of the forthcoming agreement told the CBC that U.S. tariffs on Canadian steel and aluminum are being lowered from 50% to 25%, and that Canadian officials are aiming to complete the deal by Friday.
  • Quebec Premier Christine Fréchette told reporters “I don’t have sufficient information in order to decide if it’s a good agreement or not.”
  • Premiers were asked not to exclude U.S. from procurement policies

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Prime Minister Carney meets with First Ministers

Today, Prime Minister Mark Carney met virtually with provincial and territorial premiers to discuss the ongoing trade negotiations with the United States, according to Prime Minister’s Office.

The Prime Minister underscored the importance of a strong Team Canada approach. He reiterated that the government’s goal is to secure the best deal for Canadians – one that provides the greatest possible U.S. market access for Canadian businesses.

Prime Minister Carney emphasized the importance of remaining focused on Canada’s central economic strategy: building our economic strength at home and diversifying our partners abroad.

Trump set to cut auto tariffs on imports from Canada to 15%

The source said the proposed deal was expected to cut top-line tariff rates on Canadian-built cars and trucks to 15% from the existing 25%. ​Industry executives say that rate threatens to kill domestic auto manufacturing, reports David Shepardson and Promit Mukherjee at Reuters.

Two auto executives said Canada was pushing to reduce the tariff to 10%.

The 15% top-line autos tariff also would come before deductions for the value of U.S.-produced content, bringing the effective rate substantially lower, the source told Reuters. The proposed deal would also halve the top-line tariff rates ​on Canadian steel and aluminum to 25%, the source said.

Canada and US are finalizing a trade deal

“We are now moving towards an agreement that reinforces that Canadian advantage, including by securing the best terms in each of Canada’s most important strategic sectors and providing greater certainty about our future trading relationship,” Prime Minister Mark Carney wrote on Wednesday.

Minister LeBlanc said that Canada’s dairy supply management programme – which sees production quotas, set pricing, and import quotas on dairy, eggs, and poultry – will remain “entirely intact”, reports BBC News.

Polls suggest that a majority of Canadians would be unhappy if the Carney government made significant concessions to the US, with 56% surveyed by polling firm Leger saying they want Canada to take a hardline approach.

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US delays implementing 50% tariffs on goods imported from Canada for three days

“Canada has temporarily dodged 50 per cent tariffs on roughly $28-billion worth of goods after U.S. President Donald Trump announced late Tuesday he would delay the levies for three days,” reports The Canadian Press.

“Prime Minister Mark Carney said in a statement after Trump’s post that “substantial progress” has been made and that more work remains.

“While we continue this work, Canada remains focused on building a stronger, more independent, and more competitive economy at home,” PM Carney said.

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Only 18% of Canadians want to give U.S. concessions

Canadians say Canada should either respond with counter-tariffs (36%) or keep negotiating without any counter-tariffs (30%) if Trump’s new round of tariffs go into effect Wednesday, reports Uday Rana at Global News.

However, 18% said Canada should “offer concessions to the U.S., such as ending bans on American alcohol and easing dairy restrictions, if that gets the tariffs removed.”

Of the 1,499 Canadians polled from Aug. 7 to 12, 74% said the trade war with the U.S. has already impacted their household finances.

The inside story of Europe’s rupture with America

From WSJ, July 5, 2026: It was almost midnight in Brussels and the leaders of Europe were locked in their fifth hour of an emergency meeting with a single theme for discussion: how to manage a breakup with America.

The new year was only three weeks old and President Trump, after removing Venezuela’s autocratic strongman, had briefly threatened to seize Greenland from Denmark. Around a circular table in the European Council headquarters known as “The Space Egg,” heads of government were venting so emotionally about the 47th president that some of the nearly 30 leaders present would later call the session “therapy night.”

“We are drawing a line here,” began Emmanuel Macron, president of France . For a year, America’s closest allies had tried to placate Trump with a mix of flattery and concessions on mutual defence and trade issues, hoping to buy time.

A clutch of European leaders chimed in to complain that the administration seemed more interested in mining and energy deals than upholding America’s traditional role in the world. Europe risked becoming “a miserable slave” to the U.S., groused the prime minister of Belgium.

Hours passed as people talked over each other in a conversation with such seismic implications it seemed surreal: In its 250th year, had America, protector of Europe, now become a threat?

Several participants mentioned a man who wasn’t in the room. Mark Carney, the new Canadian prime minister, had been regularly messaging Europe’s major leaders using a British phone number from his time in London, trying to persuade them that “the old America isn’t coming back.” Now, on the heels of a blistering speech at the annual Davos gathering, his arguments were gaining ground. “Canada,” said the prime minister of Spain, “is openly saying what we should do.”

In the months to come, the January crisis meeting would be remembered by Europe’s most powerful figures as the moment that countries bound together by blood and a sense of shared destiny since the aftermath of World War II began to explore separate paths.

WSJ: ‘There Is No Going Back’: The Inside Story of Europe’s Rupture With America (Archived)

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