It’s possible that I shall make an ass of myself. But in that case one can always get out of it with a little dialectic. I have, of course, so worded my proposition as to be right either way (K.Marx, Letter to F.Engels on the Indian Mutiny)
Eric Ham is based in Washington, D.C. and is a political analyst for CTV News. He’s a bestselling author and former congressional staffer in the U.S. Congress and writes for CTVNews.ca.
China is now importing record amounts of Canadian oil after slashing U.S. oil purchases by roughly 90 per cent.
As a result, imports of Canadian crude have surged, reaching a record 7.3 million barrels in March. This massive boon comes as Canadian negotiators are racing against the clock to make a trade deal with the White House.
The expanded Trans Mountain Pipeline has enabled China and other East Asian importers to access Canada’s vast crude reserves, which are relatively cheap and suitable for China’s advanced refineries that process dense, high-sulfur crude.
The shift reflects Beijing’s strategic move to diversify its oil sources away from the U.S., Russia, and the Middle East, with Canadian oil becoming an increasingly attractive option.
Crude oil tankers SFL Sabine, back left, and Tarbet Spirit are seen docked at the Trans Mountain Westridge Marine Terminal, where crude oil from the expanded Trans Mountain Pipeline is loaded onto tankers, in Burnaby, B.C. on June 10, 2024. THE CANADIAN PRESS/Darryl Dyck
It’s a serendipitous endeavour, considering U.S. President Donald Trump’s unrelenting attacks on America’s northern neighbour, which are increasing as the deadline on a trade deal rapidly approaches.
Still, record purchases of Canadian crude by China could be a harbinger of more deals involving Beijing and Ottawa as Canadian leaders seek viable alternatives. A move that could see Canada exit America’s sphere of influence, as the relationship appears to be no longer mutually beneficial and grows more turbulent and confrontational with each passing day.
Instead of looking south, Ottawa is now looking (Far) East. During a recent summit in Bellevue, Washington, U.S. envoy to Canada Pete Hoekstra told the audience that Trump thinks the country is “nasty” to deal with. As a result of the rapid deterioration the brewing cold war between once-great friends and allies now has Beijing exploring a possible opening.
As the uncertainty of difficult trade demands and erratic import duties stifle global markets, Ottawa and Beijing are looking increasingly more enchanting to each other, given the increasing volatility emanating from Washington.
China is Canada’s second-largest trading partner, trailing behind the United States. Canada exports $47 billion worth of goods to the world’s second-largest economy in 2024, according to Chinese customs data.
Chinese Premier Li Qiang speaks as he chairs the "1+10" Dialogue on Building Consensus on Development to Promote Global Common Prosperity, at the Diaoyutai State Guesthouse in Beijing on Dec. 9, 2024. (AP Photo/Andy Wong)
After years of fraught relations and simmering tensions, the two nations agreed on a diplomatic reset after a phone call between Prime Minister Mark Carney and Premier Li Qiang back in June. The thawing comes as both nations find themselves under siege by a White House hell-bent on exacting maximum punishment on both countries as trade negotiations reach a fevered pitch.
Still, as Ottawa eyes new pathways, in a geopolitical landscape marked by turmoil and ambiguity, Beijing has signalled a willingness to readily engage and establish closer ties with the Great White North. Chinese envoy to Ottawa, Wang Di, has even gone so far as to state on the record that China would be willing to consider negotiating a free-trade deal.More opinion on CTVNews.ca
The remarks underscore the Asian powerhouse’s readiness to advance opportunities beyond the incessant economic warfare being waged by Washington. Yet, while China’s premier and Carney have both signaled a willingness and desire to move towards a more advantageous relationship, Carney still appears to be moving at a tepid pace. Despite this, China continues to show an outward motivation to deepen ties in the face of growing alienation and separation with the U.S. Canada’s premiers, meanwhile, are hoping to speed up the diplomatic thawing.
Saskatchewan Premier Scott Moe, whose province is Canada’s top canola producer, said the country must “reset our relationship with China if we are going to have any hope of diversifying.”
“China is one of the largest markets in the world. It’s our second-largest trading partner as the province of Saskatchewan,” said Moe in Huntsville, Ont., where he attended meetings with other provincial leaders and the prime minister. “They’ll need to be a part of that process.”
Prime Minister Mark Carney, right, speaks with Premier of Saskatchewan Scott Moe following the First Minister’s Meeting in Saskatoon, Sask., on June 2, 2025. THE CANADIAN PRESS/Liam Richards
Further highlighting this desire to look east rather than south, in a joint statement, Canada’s premiers urged Carney to “improve the overall trade relationship” with Beijing and remove the tariffs.
Ontario Premier Doug Ford said he’s against removing tariffs against Chinese electric vehicles, but he would have no problem doing more business with China, “as long as China plays fair and doesn’t undercut our markets.”
“I don’t consider Americans the enemy, but right now President Trump himself is acting like the enemy,” Ford said. In a classic ‘the enemy of my enemy is my friend’ moment, many Canadians see the U.S. as increasingly and openly hostile to the nation’s interests.
As the enmity and bellicosity from the White House continues to grow, the premiers are increasingly open to seeking pathways to growth, which includes less reliance and dependence on the United States.
Saskatchewan Premier Scott Moe, left to right, Ontario Premier Doug Ford and Alberta Premier Danielle Smith sign a memorandum of understanding during the meeting of Canada's premiers in Huntsville, Ont., on July 22, 2025. THE CANADIAN PRESS/Nathan Denette
China, despite years of antagonism, and growing suspicions, seems ready to move past the intense divisions and leverage Washington’s insolence and insularity to both its and Canada’s benefit.
If the oil sector is any indication of the possibilities on the horizon, Ottawa and Beijing might find a welcome resolve — at least short-term — from the instability and erratic oscillation that is plaguing Washington. Recently, a bipartisan group of U.S. senators travelled to Ottawa to meet with Carney.
The lawmakers were seeking common ground on many of the recalcitrant issues facing negotiators. Touting themselves as “bridge-builders” and dismissing Trump’s rhetoric of Canada as the 51st state as merely “bluster,” the members of the U.S. Senate Finance Committee are hoping to maintain strong ties with Ottawa and see the relationship bolstered and fortified.
Unfortunately, their wishes and hopes count for very little as it is the opinion of one, the occupant of the White House, that will ultimately determine the tone and trajectory of relations between Washington and Ottawa. Which is why Beijing is hoping and betting big that given Trump’s history, it can be the stand-in when, not if, the ties that once bound two nations are eventually severed.
Saturday, June 28, 2025
Op-Ed: Canada vs U.S. — U.S. stops trade negotiations over petty 3% digital services tax
Trump has issued yet another tirade about “attacking our Country”. This is stock phraseology, and it’s getting ancient. It’s his usual one-way rhetoric with appalling capitalizations of words that don’t need capitalizing.
3% of anything is an attack on America? How? Canada is being nice about it, as usual. It should be 15%, the benchmark for this type of tax.
Just a few points:
This tax is peanuts. He’s blocking trade talks worth much more for a few bucks?
This tax is incurred in Canada only.
He can’t stop Canada from imposing a tax anyway.
Canadian tax has absolutely nothing to do with the U.S.
The tech media sector is famous for ducking tax and often paying no tax at all worldwide for decades.
It’s terrible trade policy.
It’s lousy foreign relations.
Trump’s “King of the World” approach never works anyway.
He insists on issuing edicts to other countries, and those countries don’t like it.
Whatever he demands doesn’t happen. It just uses up a lot of media space.
Far more questionable is one glaring fact. Big Tech has received a lot of quite unnecessary favors from Trump. One of those favors is in the “Big Beautiful Bill” aka ready-made budgetary catastrophe. Federal revenue will be totally trashed by this idiotic bill, and all U.S. government spending will be severely compromised.
Simultaneously, he’s complaining about other countries raising their own revenue while destroying his own revenue base.
Trump is also accusing Canada of “copying the EU,” which has been far less patient with Trump edicts since 2016. Trump’s entire first term had no real effect on the EU, for all the bluster.
That’s likely to be the pattern for the future. Other countries will adopt the same perspective. Trump’s constant attacks against Canada and other countries will backfire badly. From “annexation” to “51st state,” he’s guaranteed failure in any negotiation with Canada.
The rest of the world has more than a few problems with American overreach, too. China, Australia, Japan, India, the EU, and others don’t have to listen to this drivel.
The U.S. could progressively get bypassed as new trade agreements and much cheaper alternatives emerge. That could have very negative long-term consequences.
The good news is that Canada can ignore this babble for a while.
__________________________________________________ Disclaimer The opinions expressed in this Op-Ed are those of the author. They do not purport to reflect the opinions or views of the Digital Journal or its members.
Trump Shoves Canada Out in the Cold in New Trade Freeze
\ Trump says he’s ending trade talks with Canada over its 'egregious Tax' on technology firms
Farrah Tomazin Fri, June 27, 2025
Donald Trump has reignited a fresh trade war with Canada after it imposed a digital service tax on American tech firms.
Less than two weeks after his G7 love-in with Prime Minister Mark Carney and other world leaders, Trump announced on Friday that he was immediately “terminating ALL discussions on Trade with Canada” and accused the country of a “blatant attack” on the U.S.
He added that he would announce new tariffs against Canada within the next week.
Canada's Prime Minister Mark Carney and U.S. President Donald Trump leave after a family photo session during the G7 Summit. / Suzanne Plunkett / REUTERS
“We have just been informed that Canada, a very difficult Country to TRADE with … has just announced that they are putting a Digital Services Tax on our American Technology Companies, which is a direct and blatant attack on our Country,” Trump said in a Truth Social post.
“They are obviously copying the European Union, which has done the same thing. Based on this egregious Tax, we are hereby terminating ALL discussions on Trade with Canada, effective immediately.
“We will let Canada know the Tariff that they will be paying to do business with the United States of America within the next seven-day period. Thank you for your attention to this matter!”
The president’s declaration threatens America’s trade relationship with its northern ally and a key global trading partner.
But questions remain as to whether Trump will go through with the plan, given his tendency to backtrack on threats, which has earned him the nickname “TACO”: Trump Always Chickens Out.
In March, for example, after talking tough on trade, Trump granted a one-month exemption on new tariffs impacting goods from Mexico and Canada for U.S. automakers.
He also postponed 25% tariffs on many imports from Mexico and some imports from Canada for one month, and lowered the tariff rate on potash provided the goods were compliant with the United States-Mexico-Canada Agreement. In May, Canadian Prime Minister Mark Carney met with Donald Trump at the White House to tell the president Canada
The Daily Beast has reached out to Carney’s office for a response to the latest salvo.
It comes after the Canadian Prime Minister privately courted Trump in the weeks leading up to the G7 summit, calling and texting Trump and his allies to ease past tensions between the two countries.
Those tensions ignited earlier this year, when Trump repeatedly called for Canada to become America’s 51st state.
“It’s not for sale,” a defiant Carney told Trump during an Oval Office meeting in May. “Won’t be for sale, ever.”
Canada’s Digital Services Tax imposes a 3% tax on large foreign and domestic digital companies that make over $20 million (Canadian dollars) in revenue.
While the president said he had just been informed of the tax, it received royal assent in Canada on June 20, to take effect on June 28.
Trump’s decision to suspend the trade talks has been criticized by some.
“This is pure stupidity,” said Nevada Democrat Congressman Steven Horsford. Trump Cuts Off Trade Talks With Canada Over Digital Services Tax
Sean Burch Fri, June 27, 2025
President Donald Trump on Friday said he was “terminating ALL discussions on Trade” with Canada over the country’s new digital services tax that aims to collect billions of dollars from American tech giants like Meta and Amazon, starting on Monday.
“We have just been informed that Canada, a very difficult Country to TRADE with, including the fact that they have charged our Farmers as much as 400% Tariffs, for years, on Dairy Products, has just announced that they are putting a Digital Services Tax on our American Technology Companies, which is a direct and blatant attack on our Country,” Trump posted on Truth Social.
The president then said he was canceling all trade discussions with America’s northern neighbor due to the “egregious Tax.”
He added “We will let Canada know the Tariff that they will be paying to do business with the United States of America within the next seven day period,” before adding his trademark sign-off, “Thank you for your attention to this matter!”
Canada’s DST is a 3% tax on large tech companies with more than about $800 million in annual revenue. It targets companies involved in social media services and online advertising, which puts tech giants like Meta, the parent company of Facebook and Instagram, Amazon, and Google-parent Alphabet on the hook for payments.
The first tax payment is due on Monday, and is retroactive to sales made since the start of 2022. The Wall Street Journal estimated that initial payment would be around $3 billion for the collective U.S. firms being taxed.
“The Canadian government will continue to engage in these complex negotiations with the United States in the best interests of Canadian workers and businesses,” his office said.
Trump says he is ending Canada trade talks amid tech tax dispute
Dominic Rushe in New York
THE GUARDIAN Fri, June 27, 2025
Trump at the White House on Thursday.Photograph: Yuri Gripas/EPA
Donald Trump has announced he is ending trade talks with Canada, one of its largest trading partners, accusing it of imposing unfair taxes on US technology companies in a “direct and blatant attack on our country”.
The news came hours after the US had announced a breakthrough in talks with China over rare-earth shipments into America, and announcements from top officials that the US would continue trade negotiations beyond a 9 July deadline set by Trump.
Signs of a cooling in the trade war sent US stock markets to new highs.
The US has been negotiating a trade deal with Canada, one of its top two global trading partners, for months. Mark Carney, Canada’s prime minister, met Trump at the G7 summit of world leaders in Alberta earlier this month.
Carney announced that Trump had agreed to “pursue negotiations toward a deal within the coming 30 days”.
But talks appear to have foundered over Canada’s decision to impose a digital services tax on US technology companies. First payments on the tax are due on Monday and will cost US tech companies, including Alphabet, Amazon and Meta, an estimated $3bn.
Trump wrote on Truth Social: “We have just been informed that Canada, a very difficult Country to TRADE with, including the fact that they have charged our Farmers as much as 400% Tariffs, for years, on Dairy Products, has just announced that they are putting a Digital Services Tax on our American Technology Companies, which is a direct and blatant attack on our Country.
“They are obviously copying the European Union, which has done the same thing, and is currently under discussion with us, also. Based on this egregious Tax, we are hereby terminating ALL discussions on Trade with Canada, effective immediately. We will let Canada know the Tariff that they will be paying to do business with the United States of America within the next seven day period.
“Thank you for your attention to this matter!’
Trump is ending trade talks with Canada
Elisabeth Buchwald, CNN Fri, June 27, 2025
Cargo containers are stacked at the Centerm container terminal, in Vancouver, Canada, on June 5. Trump said in a Truth Social post Friday he was terminating trade talks with America's northern neighbor. - Liang Sen/Xinhua/Getty Images Yahoo is using AI to generate takeaways from this article. This means the info may not always match what's in the article. Reporting mistakes helps us improve the experience.Generate Key Takeaways
President Donald Trump said Friday he has put an end to trade talks with Canada and will soon announce a new tariff rate for that country, he said in a Truth Social post on Friday.
The decision to end negotiations, which have been ongoing for several months, came after Canada announced a digital service tax, Trump said, calling it “a direct and blatant attack on our Country.”
“Based on this egregious Tax, we are hereby terminating ALL discussions on Trade with Canada, effective immediately. We will let Canada know the Tariff that they will be paying to do business with the United States of America within the next seven day period,” he said.
Trump has taken particular issue with DSTs throughout trade negotiations with other countries, commonly referring to them as “non-tariff trade barriers.” Canada has a new DST that is set to take effect on Monday that will be retroactive to 2022.
Digital services taxes are a way for countries to tax online services, in contrast to taxes on physical products. Countries with these taxes can collect revenue from large companies that operate online — even if the business is unprofitable. American firms, especially Big Tech companies such as Meta, Apple, Google, Amazon and Microsoft, are disproportionately affected by DSTs, according to a report published last year by the nonpartisan Congressional Research Service.
Prime Minister Mark Carney said on Friday he wants to continue negotiating with the US.
“We’ll continue to conduct these complex negotiations in the best interest of Canadians. It’s a negotiation,” Carney said to reporters.
“We knew (the tax) was coming. We hoped they wouldn’t do it,” Treasury Secretary Scott Bessent said Friday on CNBC.
“We think it’s patently unfair to do it retroactive. This is something from the Trudeau years, so we were hoping, as a sign of goodwill, that the new Carney administration would at least put a break on that during the trade talks. They seem not to have,” Bessent added. If the Canadian government moves forward with the tax, Bessent said Trump is prepared to impose higher tariffs across all Canadian goods, without specifying a rate.
Canada is the top buyer of American goods, importing $349 billion worth last year, according to Department of Commerce data. Meanwhile, Canada shipped $413 billion worth of goods to the US last year, the third-highest source of foreign goods.
Levying higher tariffs on Canada would likely cause the country to retaliate by imposing higher tariffs on American goods. That would take a toll on both countries’ economies.
Prime Minister Mark Carney’s office told CNN the Canadian government is considering its response.
In a social media post, Pierre Poilievre, the leader of Canada’s Conservative Party, wrote that he hopes both countries can return to the negotiating table.
“Disappointed that trade talks have halted. Hopefully they resume quickly,” he wrote.
Several Canadian businesses and groups CNN has spoken to have been pushing the government not to move forward with the tax, fearing they could cause trade tensions to escalate between the US.
“For many years, the Business Council of Canada has warned that the implementation of a unilateral digital services tax could risk undermining Canada’s economic relationship with its most important trading partner, the United States,” Goldy Hyder, president and CEO of the Business Council of Canada, said in a statement to CNN on Friday. “That unfortunate development has now come to pass.”
“In an effort to get trade negotiations back on track, Canada should put forward an immediate proposal to eliminate the DST in exchange for an elimination of tariffs from the United States.”
The Canadian Chamber of Commerce echoed those sentiments.
“Our position on the Digital Services Tax has been consistent, but primarily for the reason that it’s self-defeating in nature. That said, it’s a pivotal time for Canada-U.S. relations,” Candace Laing, president and CEO of the Canadian Chamber of Commerce, said in a statement to CNN.
“The tone and tenor of talks has improved in recent months, and we hope to see progress continue. We respect that Team Canada is conducting these negotiations at the table, and we need to give them the space to navigate.”
At the start of his second term, Trump threatened to impose a 25% tariff across all Canadian exports, with rates going even higher for specific products.
However, as it stands, most Canadian goods have been exempt from those 25% tariffs, as long as they comply with the United States-Mexico-Canada Agreement he negotiated in his first term.
The biggest exceptions, with some fine print, are the 25% tariffs on all foreign cars, car parts, steel and aluminum. Trump later doubled the tariff on all steel and aluminum imports to 50%. Goods coming from Canada that were not USMCA-compliant have faced a combined 50% tariff rate.
In response to those auto tariffs, Canada levied a 25% tariff on US-made vehicles that aren’t compliant with USMCA. Canada also retaliated against Trump’s initial 25% steel and aluminum tariffs by rolling out a 25% tariff on roughly $43 billion worth of US goods, including whiskey, sporting gear and household appliances.
Dozens of other countries could soon face higher tariffs as a July 9 deadline looms for “reciprocal” tariffs announced in April to resume unless the impacted countries ink trade deals with the United States. It’s unclear if Trump will end up extending that deadline further and where tariff rates could end up. Several European Union countries also have DSTs, however, Bessent said on Friday, “We’re in active discussions with them to take those down.”
Stocks closed higher Friday despite Trump’s latest tariff threat. The S&P 500 and the tech-heavy Nasdaq, which had dipped into the red after his post, both gained 0.52% to close at record highs. The Dow gained 432 points, or 1%.
This story has been updated with additional context and developments.
CNN’s Paula Newton, Max Saltman, Matt Egan and John Towfighi contributed reporting.
Trump Says He’s Ending Canada Trade Talks Over Its 3% Digital Services and Streaming Tax: ‘Blatant Attack on Our Country’
Todd Spangler Fri, June 27, 2025
President Trump announced Friday that the U.S. is cutting off trade talks with Canada, citing the country’s digital services tax, which is set to go into effect next week.
Canada’s 3% digital services tax has been in place since last year but the first payments are due from domestic and foreign companies beginning on Monday, June 30. The tax will require affected companies, predominantly big U.S. technology firms, to pay up to $3 billion to the Canadian government, including retroactive charges dating back to 2022, according to the Washington, D.C.-based Computer & Communications Industry Association trade group.
“We have just been informed that Canada, a very difficult Country to TRADE with… has just announced that they are putting a Digital Services Tax on our American Technology Companies, which is a direct and blatant attack on our Country,” Trump wrote Friday in a post on Truth Social. “They are obviously copying the European Union, which has done the same thing, and is currently under discussion with us, also.”
Trump continued, “Based on this egregious Tax, we are hereby terminating ALL discussions on Trade with Canada, effective immediately. We will let Canada know the Tariff that they will be paying to do business with the United States of America within the next seven day period. Thank you for your attention to this matter!”
Trump earlier this year imposed a 25% tariff on Canadian goods, and higher levies on certain specific categories of products — and his comment Friday suggested that he is looking at imposing an even higher tariff rate on the country. In 2024, U.S. goods exports to Canada were $349.4 billion, down 1.4% from the year prior, according to the office of the U.S. trade representative.
Friday, June 20, 2025
Tom Mulcair: Carney can take on Trump, but he’s got big challenges at home, too
Mulcair breaks down new steel and aluminum protections, their impact on Canada-U.S. trade, and PM Carney’s key measures.
The new Carney government got elected on a promise of results.
The core team he’s assembled to back him was purpose built with a single goal top of mind: Getting things done.
Economic issues generally and trade issues, in particular, were dictating the agenda. What was new was the single-minded determination. The threat of a trade war with our closest ally, the United States, was thought to be the stuff of a theoretical lament for our nation.
Then, it happened. When it did, and newly-elected Donald Trump actually voiced the desire to attack Canada economically and make us the 51st state, there was a sudden need for a Canadian adult in the room.
President Donald Trump, right, and Canada's Prime Minister Mark Carney participate in a session of the G7 Summit, Monday, June 16, 2025, in Kananaskis, Canada.
(AP Photo/Mark Schiefelbein) (Mark Schiefelbein/AP)
Exit Justin Trudeau, enter Mark Carney. No matter where you are on the political spectrum, you’ll have seen that Carney has been moving very fast on his promise to find new partners around the world and to develop opportunities at home.
Carney knows that the window to get anything changed in a big, modern economy is very narrow. Opposing interests are well defined, positions are well defended. The extreme clientelism of the Trudeau years ground his government to a halt. It’s not that they lacked ideas, it’s that they couldn’t get anything done.
Caught in a second minority government, Trudeau cut a deal with Singh to ensure his own political survival. It wound up costing both of them dearly. Parliament was shut down by the Conservatives and the Liberals were in free fall in the polls. Singh’s NDP was nearly wiped out at the ballot box, because the deal with Trudeau had cost them any definition of who they were.
Although he was also handed a minority government by voters, Carney has been behaving like someone who has a majority; and it’s easy to understand why.
What he’s seeking to accomplish can only be realized if other political actors are on board, but there was no way he was going to put himself in lockstep with the NDP, an idea he quickly rebuffed.
Carney’s ‘de-facto majority’
Instead, Carney’s determination and bold vision seem to be accompanied by a chess player’s moves. He’s almost challenging the other parties to take him on because he’s confident in his overall position.
Carney knows that Canadians agree with his approach and want him to succeed. Provoking an election any time soon would simply provide Carney with a majority. That political reality has provided him with a de-facto majority, even if he lacks a numerical one. Carney has gone all in.
Barely a month after the election, he introduced sweeping legislation to accelerate resource projects and has sought to remove American arguments about security issues by immediately meeting our NATO spending obligations and tightening the border.
The NDP quickly signalled that they wouldn’t make the same mistake that had cost them most of their seats. They’d become an opposition party. It used to irritate us in the NDP when we were called the “conscience of Parliament”, because it left us out as real players.
I suspect that interim NDP Leader Don Davies won’t mind that role at all in the current context. The NDP seem set to patiently rebuild their brand and avoid voting with the Liberals. The Bloc, as comically irrelevant as ever, will continue to wave their wooden swords and no one will pay any attention.
The real game, and the real view into the strategy of Mark Carney, was his forceful squeeze play on the Conservatives. Alberta Premier Danielle Smith weighed in quickly: She wanted Carney’s bill passed. It didn’t take long for the Conservatives to fold. Carney will get his legislation before the summer, as he requested.
Poilievre is about to become an Alberta MP and he’ll have to decide who his boss is: His own party or Danielle Smith’s. The answer to that question could have a determining effect on whether Poilievre’s Conservatives retain the sizable gains they made in Ontario, where he used to be an MP.
As is often the case in politics, it’s the people inside your tent who can cause the most problems. Ontario Premier Doug Ford, a classic Progressive Conservative, has been proving himself to be a key ally of Carney. He wants resource projects and other development for Canada’s largest province. The key goal of accelerating the review process is at the top of his list
.
Ontario Premier Doug Ford announces that he will be reversing his government’s decision to open the Greenbelt to developers during a press conference in Niagara Falls, Ont., Thursday, Sept. 21, 2023. The announcement comes after a second cabinet minister resigned in the wake of the Greenbelt controversy. THE CANADIAN PRESS/Tara Walton
The corrupt shenanigans, around Ford’s Greenbelt land grab, should be a warning sign to Carney. Be careful when pushing aside environmental and habitat protections. Ford may believe that the public no longer cares about the issue but the Mounties are still investigating and the result could be serious trouble for Ford and for Carney, if he becomes too closely identified with the Ford approach.
Mark Carney receives a pair of moccasins from David Pratt Vice-Chief of the Federation of Sovereign Indigenous Nations as he holds an election campaign rally in Saskatoon, Sask., on Wednesday, April 9, 2025. THE CANADIAN PRESS/Sean Kilpatrick
That’s where the “aw shucks” populism of Doug Ford can quickly become a major problem.
Ford’s recent pronouncements on the relationship with Indigenous peoples have been particularly ham-fisted:
“There’s an opportunity of a lifetime for them. We’re giving them $3 billion with a B … to be equity partners, to make their communities more prosperous and wealthier and have services they’ve never had before…there’s going to be a point that you can’t just keep coming hat in hand all the time to the government,“ said Ford.
“You’ve got to be able to take care of yourselves — and when you literally have gold mines, nickel mines, every type of critical mineral that the world wants, and you’re saying, ‘No, no, I don’t want to touch that, by the way, give me money.’ Not going to happen. It’s simple.”
The reply from Alvin Fiddler, the highly respected Grand Chief of Nishnawbe Aski Nation, was sharp and to the point. He said Ford’s remarks were “offensive, rooted in racism and colonial violence.”
Grand Chief of Nishnawbe Aski Nation Alvin Fiddler speaks at a news conference against Bill C-5 in the Foyer of the House of Commons on Parliament Hill in Ottawa, on Tuesday, June 17, 2025. THE CANADIAN PRESS/Justin Tang
Ford has since offered an apology but it’s hard not to agree with Grand Chief Fiddler’s characterization. That could eventually prove a huge problem for Carney.
For over 50 years, going back to an injunction that was issued in favour of the James Bay Cree to block a mammoth hydroelectric project in Quebec, wise resource developers have understood the need to work on a respectful nation-to-nation basis.
That’s what Quebec has done, by the way, and although things are far from perfect, large developments continue to move forward because partnerships, and trust, have been created.
The old method, of throwing everything you’ve got at big law firms in the hope of defeating Indigenous rights, has proven a failed model, time after time after time. Ford does seem to have a glimmer of understanding that partnerships are the key, but he’s such a blunt instrument, he manages to insult those he says he’d like to make a deal with. Not an auspicious start.
Carney has his work cut out for him, and has been going about it with inspiring energy and determination.
To help him meet his ambitious goals for Canada, he has managed to recruit some extraordinary players to his team. Within cabinet, Energy and Natural Resources Minister Tim Hodgson will play a crucial role. But it’s two outsiders who provide the key clues to Carney’s approach.
File photo of then Permanent Representative of Canada to the United Nations Marc-Andre Blanchard speaks to media during the Liberal cabinet retreat in Winnipeg, Sunday, Jan. 19, 2020. THE CANADIAN PRESS/Mike Sudoma
He’ll be taking a huge pay cut to return to public service and he’s not doing it for the glory. He’s onside with Carney’s vision for Canada and will be essential to achieving those results.
A file photo of then Hydro Quebec president Michael Sabia, speaking at the legislature committee studying Hydro Quebec strategic plan on Nov. 30, 2023 at the legislature in Quebec City. THE CANADIAN PRESS/Jacques Boissinot
The most astounding hire was that of Michael Sabia. Like Blanchard, a tough task maker. A Montreal colleague chuckled as he related Sabia’s tendency to call key meetings for 5:30 pm on Fridays during his time running Hydro Quebec. A nice way to remind top people that their big pay cheque comes with obligations. He’ll be running the Privy Council Office, Carney’s ministry that operates the entire government.
Go back to the Throne Speech to understand what types of massive cuts and reorganization are in store for the top brass in Ottawa. Any deputy minister who thought they’d be spending the summer on the dock at their cottage had better think again.
This is a unique time in Canadian political history. An unparalleled threat to our very existence being handled by a brilliant, energetic and refreshingly engaged new team. Canadians are onside. Now it’s time to deliver the results. Tom Mulcair
Contributor
Tom Mulcair is a former leader of the federal New Democratic Party of Canada between 2012 and 2017, and a columnist for CTVNews.ca
BEFORE BECOMIN THE NDP LEADER HE WAS A FORMER LIBERAL CABINET MINISTER IN QUEBEC
A protester holds a sign during a demonstration in front of Calgary City Hall on June 15, 2025, as world leaders converge in Canada for the G7 Summit
- Copyright GETTY IMAGES NORTH AMERICA/AFP JUSTIN SULLIVAN
Alex PIGMAN
Hundreds of protesters supporting various causes assembled peacefully in downtown Calgary on Sunday as the Group of Seven summit began a long drive away in the mountain resort of Kananaskis.
In recent years, G7 protests have become tightly controlled affairs. Demonstrators are confined to designated spaces, often more than 100 kilometers (62 miles) from where world leaders meet.
The 2025 edition is no different, with protesters voicing their anger in Alberta’s largest city.
Canadian officials promised a livestream of their messages to the isolated mountain town of Kananaskis where leaders of the seven industrialized nations are meeting.
The crisis in Gaza was a dominant theme for the crowd of about 500 gathered in front of Calgary’s main municipal building — one of several areas in the city designated as protest zones.
Police said no protesters were present at the other two local demonstration zones, including one near the Calgary airport where the leaders began arriving.
“I’m here because I’m an Indigenous person,” said Emrys Peacock, who came by bus from British Columbia’s Okanagan region.
“As an Indigenous person, I can’t ignore a fellow Indigenous nation being bombed, murdered and starved at the hands of an occupation, (something) my people have been through since colonization,” she added.
Dozens of other protesters also railed against Israel’s war campaign in Gaza, which was triggered by the October 7, 2023 attack on Israel by Hamas.
Calgary student Terrence, who declined to give his last name, seemed surprised by the calm atmosphere.
“I’m a little underwhelmed. I thought there would be a lot more confrontation because last year’s Gaza protest was quite tense,” he said.
– Not a ’51st state’ –
Unsurprisingly, hostility toward US President Donald Trump emerged as another major theme, particularly regarding his suggestions that Canada should become America’s 51st state.
Calgary native Diane Houston carried a sign calling the US leader an “abomination” and a “sociopath.” She said she wanted “to make sure he’s under no illusion that Canadians want to be a 51st state.”
Tracy Osterland from nearby Canmore echoed this sentiment: “Trump is a wannabe dictator, and he definitely needs to be stopped. Enough of the 51st state stuff already. We’re not at all interested.”
Capturing the potpourri of themes at the protest, her double-sided poster had biting criticism of Trump on one side and a colorful welcome sign for Ukrainian President Volodymyr Zelensky on the other.
“I’m really hoping that they can do something for him,” she said of the Ukrainian leader, who will be attending the G7 summit along with other invitees.
Another attendee beyond the seven leaders of the industrialized countries is Indian Prime Minister Narendra Modi, who launched strikes on Pakistan last month after an attack on civilians in divided Kashmir.
The G7 leaders “are the world’s peacekeepers,” said Asif Nazir of the Jammu Kashmir National Awami Party.
“We give our message to Modi and all the G7 summit participants to come forward and solve this issue, as per the Kashmiris’ wishes,” he said.
Environmental concerns also featured prominently, with activists highlighting Canada’s vast freshwater resources.
Ila Dame from the group Protect Alberta’s Rockies and Headwaters suggested Trump’s interest in Canadian annexation stems from coveting resources.
“We have 20 percent of the world’s fresh water. Trump wants our water and our resources. It has nothing to do with wanting our people,” she said.
Despite being relegated far from the actual summit, most protesters took the strict rules surrounding the G7 in stride.
“I do think it would be more effective if we were closer, if we could actually get the attention of the people who attend the G7,” Peacock said.
“However, we will have an effect anywhere,” she added, not regretting her long ride to Calgary.
Sunday, June 01, 2025
Evolving U.S.-Canada Relations Spark Shift in Strategy
Recent shifts in US policy have caused Canada to reevaluate its long-standing relationship with its southern neighbor, leading to a focus on economic independence and trade diversification.
Canadian federal politics have responded to US actions through tariffs and election results, reflecting a national desire for greater autonomy and a need to address regional economic concerns.
Infrastructure projects and trade relationships are being reassessed in Canada to reduce dependence on the US, with an emphasis on developing internal resources and fostering new international partnerships.
For years, the US has been a stalwart ally to Canada, peacefully sharing the longest international land border in the world. The US and Canada have worked together to develop valuable north-south integration of energy infrastructure that benefits both nations and have partnered to develop common specifications and standards for many products, including petroleum fuels and passenger vehicles.
Recent political events have, however, placed Canada and the US at the cusp of a critical shift in their long and prosperous relationship. The future of the relationship may not yet be clear, but what has become apparent is that Canada is taking proactive steps to be master of its own destiny and reduce dependence on its southern neighbor to achieve prosperity amid the challenges imposed by the current US administration. Some of these actions may be to the detriment of both nations, but perhaps more so to the US. True to their form, Canadians seem to be saying – we are terribly sorry but now must look out for ourselves.
A brief history
Canada and the continental US have been in existence in their current form since 1793 when Britain ceded land to the 13 British North America colonies that led an insurrection known as the American Revolution. The border between the United States of America and what remained of British North America was established by the Treaty of Paris that ended the American Revolution. The border was challenged again during the War of 1812 when the US invaded Canada. This war ended in a stalemate and The Treaty of Ghent, signed in 1814, re-established the border as effectively unchanged. British North America eventually became Canada in 1867 when the confederation was formed.
Since the reconfirmation of the international border in 1814, the relationship between the US and Canada has largely been one of little contention. Some examples of this cooperation are:
Harmonization of vehicle standards to allow ease of cross-border trade and integrated manufacturing
Alignment of quality specifications for many fuels
Harmonized system on hazardous chemicals classification and labelling
Cooperation on food safety standards and food supply-chain certification
Canada and the US are deeply connected in many ways
Beyond cooperation on standards, Canada and the US are deeply connected by infrastructure, cross-border travel and trade and cultural similarities. From an infrastructure and trade perspective, Quebec, Ontario and British Columbia all have a strong tie to the US, exporting vastly more electricity to the south than what they provide to neighboring provinces. The Great Lakes waterway is a shared resource that enables trade between Canada’s eastern provinces and the US Northeast. Our railway system is closely linked, including CPKC, the only transnational railway in North America connecting Canada, the US, and Mexico. Canada’s petroleum industry has benefitted from having the US as a demand center with most of the nation’s crude oil being exported south via shared infrastructure that has been developed over decades. Western Canada’s natural gas benefits from market access to the Pacific and Rockies regions in the US. The US also benefits from this connectivity through the reliable and ratable supply of energy.
Canadians are a boon to the US tourism industry. In 2024, according to the US International Trade Administration (ITA), 20 million Canadian residents travelled to the US, in effect half of Canada’s population. Perhaps more important, though, is that Canadian visitors comprised almost 30% of the 72 million US international visitor arrivals. For many Canadians, the US offers ease of access, a diversity of travel opportunities from urban destinations to vast tracts of unspoiled wilderness, and an escape from bitter boreal winters.
While culturally very similar, there are some key differences between Canada and the US that makes each nation unique. Canada has always valued a strong social safety net, aiding those in need through government programs while the US values Individual freedom and charitable acts in lieu of government programs. Canadians value our publicly funded health care system and recognize that health outcomes are generally better and at a lower cost to society. Gun ownership is strictly controlled in Canada, with the benefit of having vastly lower per capita gun-related deaths. Access to high quality grade-school education is also valued in Canada, with teachers generally well-paid and schools funded equally based on student population. In sum, Canada has more socialistic values than the US but with perhaps less individual freedom. The gap in political philosophy between the two looks set to be widening further.
Is the Canada-US relationship permanently changed?
US President Donald Trump’s administration appears to be taking a vastly different stance with regards to its relationship with Canada, raising concerns over prosperity and national security for many Canadians. The ‘reciprocal tariffs’ proposed by the US – under the guise of stopping illegal immigration and the flow of fentanyl into the US – puts Canada’s economic growth at risk. Canadians struggle to understand how the US, Mexico, and Canada Agreement (USMCA) negotiated by the former Trump administration is no longer relevant. They also wonder how the almost inconsequential quantity of fentanyl entering the US from Canada could constitute a national emergency that warrants tariffs the likes of which have never been seen before.
The rhetoric on making Canada the 51st state has turned its citizens’ economic angst over the tariffs to anger. The combination of the tariffs and the threat of annexation make some Canadians view the US as waging economic warfare against it. Indeed, former Prime Minister Justin Trudeau publicly stated that President Trump’s threat to annex Canada is real. Canada has vast reserves of critical minerals, desirable access to the north, and an abundant supply of fresh water, all which make it valuable for future development. Canadians recognize the country lacks the might against an imperialistic US to defend its sovereignty if faced with economic warfare, or worse yet an insurrection from the south.
Canadians are taken aback by the abrupt shift in US diplomacy and have had its sense of economic and national security stripped bare. Canada has benefited from having the world’s largest economy on its doorstep and perhaps has not had to work as hard as other nations to develop trade relationships and national defense programs to ensure growth and security. While Canadians may be upset with the current stance of the US federal administration, many see the recent events as an opportunity to rebuild the nation into the confederation it was originally intended to be.
All Canadians are aligned in the hope that the relationship with the US will continue to remain cordial and ultimately return to one of mutual benefit. Still, it would be naïve for Canada to not diversify its trading portfolio and fundamentally change its economic exposure to the US, regardless of the diplomatic relationship returning to status quo. The US administration’s current actions are not aligned with Canada’s understanding of the USMCA and their historical relationship, but the ties between the two are not yet at an impasse. The US will always remain an important neighbor and Canadians hold no ill will for their American neighbors. Still, Canada needs to forge a different path.
First steps towards more Canadian economic autonomy
Canada has taken steps to respond to the US tariffs and the 51st state rhetoric. The federal government imposed 25% reciprocal tariffs on $30 billion of key goods from the US to target states that predominantly supported the Republican ticket, from orange juice and citrus fruit to motorcycles and whiskey. Some provinces removed all US alcohol from government store shelves to boycott the US wine and liquor industry. Some have adopted a buy-anything-but-American strategy, and grocery stores are helping by adding in-store labels to indicate the Canadian alternatives. Perhaps most notable, many are choosing to avoid traveling to the US for business and tourism. Canada’s land border crossings into the US are down 35% in March 2025 versus last year while air travel to the US is down 14%, according to Statistics Canada. Steeper declines are expected for April through August as Canadians choose to spend their travel budgets either within Canada, or to destinations other than the US.
So far, the measures taken by the Canadian government and by individual residents has had an impact on US exporters of goods. Canadian grocery retailer Loblaws reports a 10% increase in sales of Canadian goods so far, while Sobeys Inc. owner Empire Company Ltd. reports that the share of US goods purchases is “rapidly dropping”, according to a report in the Globe and Mail. US tourism is taking a hit with much fewer Canadians booking tours. US suppliers of whiskey, cotton and other materials have reported losing lucrative deals with Canadian retailers and manufacturers because of the tariffs. At least one US governor, Gavin Newsom of California, is attempting to court Canadian tourists to return to his state using a social media campaign.
Canadians are emboldened by the noticeable impact that its vast but sparsely populated nation has had so far. The economy and population are both about one-tenth the size of the US, but its land mass is slightly larger and its access to resources is immense. The trade war is not yet over, and while the current US executive branch has authority from Congress and the Supreme Court to impose the broad-brush tariffs, those levies will remain a risk despite any advancement of negotiations.
Canadian federal politics speaks volumes
Canada was due for a federal election no later than October 2025. It seemed a guarantee that the Conservative Party of Canada (CPC) led by Pierre Poilievre would win. After over nine years of a Liberal minority government, Canadians were ready for a change. The CPC platform of smaller government, lower taxes and less regulation resonated with Canadians, while the Trudeau Liberals were viewed as anti-oil, anti-gas and anti-development. Under Trudeau’s guidance, oil infrastructure projects were challenged, with much harsher rules on environmental and greenhouse gas impacts (Bill C-69). The Oil Tanker Moratorium Act was enacted, which prevents the shipment of oil along British Columbia’s west coast, the emissions costs under the Output Based Pricing System (OBPS) and consumer’s carbon tax were set to increase to $170 per tonne by 2030, and the Clean Fuels Regulation (CFR) was introduced. The oil sector emissions cap was also proposed but not yet made law. The challenging regulatory environment certainly led to several key energy and infrastructure projects being cancelled, particularly liquified natural gas export facilities and interprovincial petroleum pipelines.
When President Trump was inaugurated, though, the Canadian political landscape witnessed a sea change. Mark Carney was nominated the head of the Liberal Party to replace Justin Trudeau and called a snap election for 28 April. Carney is the former governor of the Bank of Canada and the Bank of England and is recognized for his experience on economic policy. Meanwhile, Poilievre’s populist rhetoric was sounding a bit too much like that of the new US administration and became viewed as a risk to Canada’s place in the world stage and its ability to protect its economy and borders from the might of the US. In a matter of weeks, the polls shifted to show a Liberal minority government as the likely outcome. Indeed, the Liberals ended up winning 170 electoral districts, only two shy of a majority.
The Canadian federal election results sent several key messages to the politicians. Poilievre lost his seat in his home. The federalist Bloq Quebecois gave up 13 seats, while the New Democratic Party (NDP) lost 17 seats. The Liberals gained 16 seats, and the CPC gained 15 seats. The Bloq losing 37% of their seats, mainly to the Liberals, sends a clear message to the province of Quebec that federalist politics are not supported at this time of national crisis. The NDP losing 70% of its seats implies more pragmatism with respect to greenhouse gas emissions regulations is needed to lower costs for consumers and to create an economic environment that is friendlier to resource extraction and infrastructure investment.
The CPC gains were primarily made in Eastern Canada, reflecting a clear shift towards the center. The Liberal Party’s platform, spearheaded by Mark Carney, appeased more swing voters to retain the majority of Eastern Canada and in turn caused Poilievre to lose his seat in his home riding in Ottawa. Among those is a generational divide, with young voters who are concerned about housing unaffordability, crime and the cost-of-living coalescing around the Conservatives. It's a reversal from 2015, when youth voted in record numbers, helping sweep Carney's predecessor Justin Trudeau to power.
The country provincial leaders appear united once again as a confederation to support the economic recovery of Canada in the face of severe challenges from the US. Infrastructure projects thought to be long dead are now being discussed again. Oil pipelines across the nation, liquified natural gas (LNG) export facilities, mining developments and the removal of interprovincial trade barriers are all topics that are again on the table. The CPC supporters are, however, concerned that this new government is simply a continuation of past Liberal governments, and the development of the energy economy will continue to face significant barriers.
Is it an alienation of the West, energy industry or none of the above?
Canadian federal elections almost always show a clear political division with British Columbia often supporting the leftist parties (NDP and Green Party), Alberta and Saskatchewan invariably being deeply CPC, and the rest of the country, save Quebec, being mixed. Quebec oscillates between Liberal and Bloq, the Bloq being a federalist party that only runs candidates in Quebec.
With the re-election of the Liberal Party, there is a vocal group in Western Canada that is decrying Western alienation and is raising the alarm on the beleaguered energy industry. The previous Liberal government adopted strong greenhouse gas (GHG) emissions reduction policies. Western Canada’s primary source of revenue is oil and gas and saw these federal policies as particularly restrictive to economic growth and are likely fearing more of the same.
The province of Alberta contains perhaps the most vocal protest against the federal policies and the provincial conservative party is now positioning for a referendum on Alberta’s separation from Canada. While separation is unlikely to be supported by a majority of Albertans, there is a deep level of frustration at the inability to develop energy projects because of federal policies even though the sector is a provincial matter. Prime Minister Carney has a huge task ahead to qu ell the frustration to ensure the conservative vote in Alberta sees economic opportunity.
Carney struck down the consumers’ carbon price on 1 April, thus lowering the cost of all fuels for homes and vehicles. The industrial pricing policy is still in place, and he has discussed strengthening it, which may make Canada an even more challenging country to invest in when it comes to major resource extraction projects. Before the election, Carney indicated he will not repeal the controversial Bill C-69, the federal impact assessment act that has been blamed for stalling many energy and infrastructure projects and is particularly contentious with Alberta’s conservative population.
Even so, if Carney is to be successful in his goal of reinvigorating Canada’s economy and developing new trade relationships with countries beyond the US, infrastructure will be needed. Canada is a large country with ocean access on three borders and no cross-Canada infrastructure other than roads and rail. He has stated his commitment to the expedited approval of infrastructure projects and included the concept of an energy corridor across the nation in his platform. Carney’s latest comments now indicate a willingness to change environmental legislation to enable investment in the country’s economic growth, perhaps a sign that his stance on Bill C-69 may be softening.
Actions Canada can take to decouple itself from the US as its dominant trade partner will require significant investment. The federal government can support this development by reducing regulatory burden and partnering with the provinces and First Nations on development corridors and approval processes. The opportunities are boundless and include:
Petroleum pipelines to support the growth of crude oil supply and the export of crude oil, natural gas liquids (NGLs) and refined petroleum products to foreign markets.
Upstream natural gas development, natural gas pipelines and liquefaction facilities to provide export outlets for Canada’s vast natural gas reserves.
Critical mineral mining projects to harvest Canada’s resources.
Rail infrastructure to debottleneck transportation across the nation to enable higher volumes of dry bulk exports.
Polyethylene and polypropylene production facilities to compete in export markets.
East/west electricity transmission to decouple exports from the US and keep made-in-Canada power in Canada.
Canada has cautious optimism for the future
While Canadians hold no ill will for their friends to the south, the political environment has shifted. The threat to its sovereignty and its economy from the current US executive branch has united Canada more than any event in the past excepting the World Wars.
The strong alignment in economic development across all provinces in the face of external risks is arming Canada with a new purpose. Made-in-Canada solutions and new trade relationships are now being sought, which could usher in a new era of economic prosperity. It is Canada’s time to grab its opportunities to ensure a bright future for the entire confederation.