PM Carney links Trump’s tariff threat to upcoming USMCA trade deal review, saying the US president is positioning himself as a strong negotiator.
TORONTO: Prime Minister Mark Carney downplayed US President Donald Trump’s latest tariff threat against Canada on Monday.
Carney suggested the comments should be viewed in the context of an upcoming review of the North American free trade deal.
“The president is a strong negotiator,” Carney told reporters.
He stated that positioning by Trump should be viewed in the broader context of the USMCA review set for this year.
Trump has threatened to impose 100% tariffs on Canadian imports if Ottawa finalises a new trade deal with China.
The president has so far adhered to most of the existing United States-Canada-Mexico Agreement from his first term.
Canada has been hit hard by Trump’s sectoral tariffs on autos, steel and aluminium.
More than 85% of bilateral US-Canada trade has remained tariff-free through the ongoing trade war.
Substantial changes to the USMCA during the review could upend the Canadian economy.
The review comes as Trump has escalated his rhetorical attacks on Carney.
The Canadian prime minister delivered a blistering denunciation of US global leadership at Davos last week.
Trump shot back in his own Davos address, telling Carney to watch his words.
“Canada lives because of the United States,” Trump said.
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.
The insult revives a label he directed at former prime minister Justin Trudeau.
Carney was asked Monday 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.”
