OTTAWA – Canada’s relationship with the US took another turn as Donald Trump announced a possible 35% tariff on Canadian goods next month. These threats came during intense talks between the two countries, with both sides trying to settle a new trade agreement soon. The exact impact of this new tariff warning on the ongoing discussions remains uncertain.
Prime Minister Mark Carney now faces growing doubts about his ability to stand firm against President Trump and deliver the fair deal he promised Canadians. Carney had won the last general election with a promise to defend Canadian interests, using the popular “elbows up” hockey phrase to describe his approach.
Despite his campaign promises, recent actions from the Canadian government seem to have offered little progress. In late June, Canada dropped its planned Digital Services Tax on large tech firms after Trump threatened to end talks over the issue. The US government said Canada gave in, and this move sparked debate across the country.
Carney’s Elbows Getting Tiresome
Some, like commentator Robyn Urback, questioned Carney’s resolve, joking that perhaps his “elbows were getting tired.” She described the government’s approach as inconsistent, shifting tactics with each new US threat.
Political scientist Blayne Haggart criticised Carney’s strategy, arguing that giving up on the digital tax did nothing for Canada. He believes the current trade approach lacks clear direction and benefits.
Despite these challenges, Carney still enjoys strong support in opinion polls. Many Canadians seem willing to wait and see how these talks play out. Roland Paris, a former adviser on Canada-US relations, said it’s too soon to judge the government’s actions.
The final deal will determine if Canada gave up too much. Paris also pointed out that Trump is a tough negotiator, and Carney could face political trouble if the final agreement is unfavourable.
Earlier in the year, Canada tried to smooth relations by promising C$1.3 billion for border security and appointing a new official to address concerns about fentanyl crossing the border. Even so, Trump continued to push, most recently warning about drugs in his letter announcing the tariff threat.
When Trump doubled tariffs on Canadian steel and aluminium last month, Carney did not answer with new countermeasures. Responding to the 35% tariff warning, Carney stated that Canada would keep protecting its workers and businesses while continuing to negotiate.
Opposition Within Canada
The deadline for an agreement is now set for next month, extended from the previous July date.
Most Canadian goods under the US-Mexico-Canada Agreement are not affected by the new tariff, at least for now. Trump has sent similar tariff warnings to more than 20 countries as he pursues new trade deals.
Inside Canada, there is widespread opposition to the US tariffs. Conservative leader Pierre Poilievre said his party would do all it could to secure a good deal, and British Columbia Premier David Eby called for Canadians to stand together in response to Trump’s threats.
Some experts say Canada still has options, even with its smaller economy. Fen Hampson, an international affairs professor, stressed that US consumers, not Canadians, will bear the costs of tariffs. Many US manufacturers rely on Canadian products, especially steel and aluminium, now facing a 50% tax.
Hampson reminded Canadians that trade talks are judged by their outcome, not by individual moves. He also noted Carney’s push to reduce reliance on the US by making deals with the European Union and speeding up major domestic projects.
Canada’s industry minister, Melanie Joly, said the government does not negotiate in public and rejected claims that Canada is folding under US pressure. She described the US administration as unpredictable and said Canada is not alone in facing such tactics.
