logo
Premier Ford says Trump could reopen CUSMA trade pact in the fall

Premier Ford says Trump could reopen CUSMA trade pact in the fall

Ontario Premier Doug Ford is warning that US President Donald Trump could choose to suddenly "pull the carpet out from underneath us" by opening up the trade agreement his administration negotiated with Canada during his first term.
He said Ottawa needs to prepare for that to happen this fall.
Ford made the comments after the country's premiers and Prime Minister Mark Carney met in private for the first time since Trump escalated his trade war by hitting Canada with a baseline 35 per cent tariff last week.
The new tariff, which took effect on Friday after the two countries failed to hit an Aug. 1 deadline to secure a new trade agreement, applies only to goods not covered by the Canada-United States-Mexico agreement on free trade, better known as CUSMA.
Ford said Trump likely won't wait for the scheduled review of the agreement next year.
"He's not waiting until 2026. At any given time, President Trump — not that he even follows the rules — he can pull the carpet out from underneath us on CUSMA tomorrow with one signature," Ford told reporters at Queen's Park in Toronto Wednesday afternoon as he called for swift action to bolster the economy.
"So let's be prepared. I think it'll be coming in November. He's going to come at us with double barrels, so we better be ready and throw everything and the kitchen sink at this."
A readout from the Prime Minister's Office shared Wednesday evening said Carney updated the premiers on the status of trade negotiations with the US during the meeting, noting that while Canada continues to negotiate with the United States on the countries' trading relationship, 'the impacts of tariffs remain present across the Canadian economy.'
It said Carney and Canada's premiers spoke about concrete actions to support Canadian workers and businesses most impacted by tariffs.
The readout said the group agreed to 'accelerate efforts to mobilize capital and investment, diversify supply chains, and strengthen domestic production capacity.'
'They were also unanimous in encouraging Canadian businesses to prioritize and leverage Canadian expertise, where possible, to help alleviate the short-term economic impacts of US tariffs, reduce dependence on vulnerable trade flows, and build Canada's long-term economic resilience,' it said.
The readout said Carney emphasized that the federal government remains determined to secure 'the best deal for Canadians.'
Ontario is at odds with Saskatchewan over Canada's response to the escalating trade war. Ford has called for immediate retaliation, while Saskatchewan Premier Scott Moe is urging Ottawa to dial down its retaliatory tariffs.
"Maybe it's time for Canada even to at least not add additional counter-tariffs in this space, but to even consider removing some of the counter-tariffs that are harmful to Canadian businesses and Saskatchewan businesses today," Moe said during a radio interview earlier Wednesday, adding the country is currently largely "protected" under the CUSMA trade pact.
Ahead of the meeting with Carney, Ford said he's frustrated by the impacts of high US tariffs on his province's economy and called again for retaliatory tariffs.
"You can't have tariffs on one side and not the other. I still stand by what I say — dollar for dollar, tariff for tariff. They understand strength, not weakness, and we should never, ever roll over and be weak," Ford told reporters at a news conference Wednesday in Thornhill, Ont.
Ford said he told Carney and the premiers that if Ottawa chooses not to hike tariffs in its response, the threshold at which steel products become subject to tariffs should be lowered.
"If people are concerned about hitting back, well, then there's the other alternative. Let's lower the quota for companies. When they come in, they get tariffs immediately," Ford said following the meeting with Carney.
Moe said his province is working to protect industries that are being hit hard by tariffs, including the steel sector.
"What we've done is pull forward a significant amount — 10 years, actually — of Crown procurement to support the steel industries here in Saskatchewan," he said.
Moe gave credit to Carney for his government's efforts to strengthen trade ties with other countries, including Mexico, particularly while Canada remains subject to China's canola oil and meal tariffs.
When asked to explain why his government ended up putting American liquor back on the shelves and returning to its standard procurement processes, Moe said the government already prioritizes Saskatchewan companies.
"We need to get to that space in a more solid form with our largest trading partner, the United States of America, and someone is going to have to take the early steps," he said, noting Alberta has also shifted its policies.
Alberta Premier Danielle Smith 's office said she would not be issuing any statements ahead of the meeting.
Ford also called for large industrial projects that could lift national morale and make use of Canadian steel, something on the scale of building "an aircraft carrier."
He called on Ottawa to cut taxes and said the Bank of Canada should drop its interest rate.
"We have to get the governor of the Bank of Canada to lower those damn interest rates from 2.75," he said. "Knock 'em down. Build confidence.
"Let's work together on getting rid of the HST on homebuyers, and not just first (time) ones. Let's stimulate the market and we'll follow suit if the federal government does that."
Ford also said Wednesday he had a "good conversation" with US Commerce Secretary Howard Lutnick on Tuesday that was "positive," and he believes the "prime minister is doing everything in his power to get a fair trade deal with the US."
Carney, who did not make himself available to media Wednesday, told a press conference in BC on Tuesday that he has not talked to Trump in recent days but would speak with him "when it makes sense."
The prime minister added about 85 per cent of trade with the US remains tariff-free because of CUSMA.
Sector-specific tariffs, like the 50 per cent duty on steel, aluminum and copper, remain in place.
Carney also suggested he may lift counter-tariffs if that helps Canada in the ongoing trade dispute.
"We look at what we can do for our industry that's most effective. In some cases, that will be to remove tariffs," he said Tuesday.
Foreign Affairs Minister Anita Anand and Finance Minister François-Philippe Champagne were in Mexico City on Wednesday, part of a two-day mission to meet with Mexican officials and businesses on trade.
The Opposition Conservatives are fundraising off Carney's response to the escalating trade war.
"He ran his entire campaign on elbows up," said a Tory fundraising email Wednesday. "But his elbows dropped faster than temperatures in a Canadian winter while Trump put tariffs up."
With files from David Baxter, Lisa Johnson in Edmonton, Alta. and Allison Jones in Thornhill, Ont.
This report by The Canadian Press was first published Aug. 6, 2025.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Greener steel arrives in Canada to a market in turmoil and future unclear
Greener steel arrives in Canada to a market in turmoil and future unclear

Winnipeg Free Press

time10 minutes ago

  • Winnipeg Free Press

Greener steel arrives in Canada to a market in turmoil and future unclear

TORONTO – Like some superhero channelling the power of lightning, Algoma Steel Inc. has started using the heat cast off by the arcs of powerful electric currents to make greener steel. Electric arc furnaces are nothing new — the technology is more than a century old, and there's already a few in Canada — but Algoma is calling the achievement of production from its first of the kind furnace last month a win as it faces an existential threat from U.S. tariffs. 'We have reached a truly pivotal milestone for Algoma and the Canadian steel industry,' said chief executive Michael Garcia on a recent earnings call. 'Despite the uncertainty that the trade war has unleashed, this achievement reinforces our confidence in our transformation strategy.' Part of that strategy has been to dramatically reduce emissions in an attempt to differentiate its products; it even trademarked Volta as the name for its cleaner steel that it plans to produce from a mix of low-emission iron feed and scrap metal. But experts say the project is coming online as the market for green steel, and the metal more generally, faces turmoil from tariffs and price pressures, making it unclear what financial advantages producers may get from the big upfront investments needed. 'The question is, will the demand be there? Is there going to be sufficient demand in North America for green steel?' said Chris Bataille, who researches the steel transition as an adjunct research fellow at Columbia University's Center on Global Energy Policy. 'The U.S. was starting to move fairly quickly in terms of moving to electric vehicles and to cleaner steel and everything else under the last administration, but now we've got a complete U-turn.' Steel emissions had been a priority in the U.S., and remains one in Canada, because using coal to produce steel is so emissions intensive. Globally, steel production makes up about eight per cent of carbon emissions, according to the International Energy Agency. But while it makes sense from an emissions perspective, buyers willing to pay a premium for the more eco-friendly steel have mostly been limited to the auto sector, said Bataille. European automakers have been paying a premium of as much as 40 per cent for the cleaner material, since they can use it for marketing while only adding a little to the end cost of a car, but the more important building sector has been more hesitant, he said. There is still demand in Europe, a region Canada has looked to diversify its exports, but with tariffs causing disruption there too it's not clear how much potential there is, said trade expert Tommaso Ferretti. 'There is a structural demand in Europe, but to what extent that structural demand will remain in place, it's a big question mark,' said the assistant professor at the University of Ottawa's Telfer School of Management. Garcia himself has warned that Algoma doesn't see much potential to sell to Europe, or anywhere else internationally. 'We can put our steel on an ocean-going ship here in Sault Ste. Marie, but getting it to an export customer in Europe or elsewhere, there just aren't those opportunities right now. I don't think that there'll be a lot of those opportunities going forward, to be frank,' he said. The challenges help explain why the other flagship green steel project in Canada, at ArcelorMittal's Hamilton, Ont., operations, is stuck in neutral. The company made a big show of announcing in 2022 that it was moving ahead with a $1.8-billion project to move to green steel — but the last updates show the project is still at the engineering stage, with a spokesperson confirming there are no new milestones to report. Wider oversupply issues in the industry that have pushed down prices is part of the problem, as are doubts about policies like carbon pricing, said Bataille. 'There's some uncertainty about how fast the transition will go. … It's just a difficult business to make a buck, to be honest.' ArcelorMittal said in its latest sustainability report in April that it doesn't expect green steel projects to be economical until the 2030s, and that policies will be needed to address the high capital and operational costs. Federal and provincial governments in Canada have already stepped in to help out with capital costs. Algoma received $420 million to help cover the more than $880 million cost of its project, while ArcelorMittal was offered $900 million to help ease its overall costs. But unlike Algoma, ArcelorMittal's plans also include building a plant in Hamilton to remove oxygen from iron ore using hydrogen, rather than coal — a process that remains expensive, leading to several recent project cancellations. ArcelorMittal itself just cancelled two green steel projects in Germany in June, citing high electricity prices, while last year it noted the future of several other of its European steel projects is unclear because 'there is limited willingness among customers to pay premiums for low-carbon emissions steel.' Cleveland-Cliffs, which bought Hamilton-based Stelco Holdings Inc. last year, recently shelved plans for green steel conversion at a U.S. plant that already had US$500 million in government funding secured. Lourenco Goncalves, chief executive of Cleveland-Cliffs, cited the lack of clear hydrogen supply as part of the reason for cancelling the project. He said on a July earnings call that plans to revamp the operation using existing resources, including 'beautiful coal,' generates a very good conversation with the current U.S. Department of Energy. Ferretti worries that the pressures the industry is facing will also mean less investment in research and development to try and bring costs down. He said there needs to be even greater collaboration between the public and private sector for the critical industry to chart a path forward. 'The real question in fact is to see … the collaboration between the companies, the steel manufacturers, Canadian government, and their ability to reinvent themselves.' Wednesdays What's next in arts, life and pop culture. For Bataille, that path could include using Canada's vast renewable energy and iron ore deposits to build a direct reduction plant for processing closer to the source, and then shipping the already oxygen-reduced iron around the world. 'You could triple the value of those exports,' said Bataille. 'So on the one hand we face headwinds and the Chinese overcapacity continues, but on the other hand, I think there's new possibilities open in shipping green iron places that, you know, we hadn't considered before.' This report by The Canadian Press was first published Aug 10, 2025. Companies in this story: (TSX:ASTL)

The controversy over Canada's rules on military exports to Israel, explained
The controversy over Canada's rules on military exports to Israel, explained

Winnipeg Free Press

time10 minutes ago

  • Winnipeg Free Press

The controversy over Canada's rules on military exports to Israel, explained

OTTAWA – A Canadian senator is calling on Ottawa to be more transparent on its policy to restrict arms exports to Israel, following contradictory reports about what manufacturers have been allowed to send to the Middle East. 'I'm horrified to hear this news about certain arms exports and parts going to Israel, directly or indirectly,' Sen. Yuen Pau Woo said in an interview with The Canadian Press. 'Civilians are being killed and starved, and the Israeli government has only made things worse.' Ottawa insists it hasn't been allowing exports of lethal weapons to Israel and has been blocking any military goods that could be used in Gaza. Here's a look at what we know — and don't know — about Ottawa's efforts to keep Canadian weapons out of Gaza while allowing Israel to import military goods for other purposes. What is Canada holding back from Israel? In March 2024, Parliament voted in favour of a non-binding motion to halt new arms permits for Israel. The government announced a review of export permits and suspended about 30 of them to determine whether they involved lethal uses. Ottawa has allowed all other military export permits for Israel to continue. There were 164 such permits used to export military goods to Israel in 2024, and some of them are valid for years. Of the 30 suspended permits, some have expired and the rest remain suspended, says Global Affairs Canada. In March 2024, the office of then-foreign affairs minister Mélanie Joly said that none of the valid permits allowed for the export of 'lethal goods' to Israel, such as weapons technology and equipment. Her office also said Canada stopped approving permits for Israel on Jan. 8, 2024, citing human rights concerns. While Israel's foreign minister suggested at the time the decision would undermine Israel's ability to defend itself, Israeli Ambassador Iddo Moed said 'we will be able to continue to defend ourselves.' What is Canada still allowing into Israel? Ottawa has said its restrictions exclude 'non-lethal' equipment. The government provided Parliament with a list of all existing permits in June 2024. The list mentions circuit boards well over a hundred times. In September 2024, after the U.S. State Department approved the purchase of mortar cartridges made in Quebec for Israel, Joly said Canadian-made weapons were prohibited from reaching the Gaza Strip. 'We will not have any form of arms or parts of arms be sent to Gaza, period,' Joly said at the time. 'How they're being sent and where they're being sent is irrelevant.' Anand said in an Aug. 1 statement that this pledge actually goes back to January 2024. Groups like Project Ploughshares argue the term 'non-lethal' is poorly defined and misleading. Activists say Israel can use Canadian-made components such as lenses and cameras in the Gaza war and in military campaigns in the West Bank, despite Ottawa saying Israel is violating international law in both theatres. What does Israeli customs data say? In late July, pro-Palestinian activists reported that the Israel Tax Authority had listed publicly imports from Canada that were officially recorded in customs data as bullets, guns and other weapons. The data suggested 175,000 bullets were sent from Canada to Israel under the customs code that Israel uses for 'munitions of war and parts thereof,' with three similar shipments in 2024. Israeli customs agents recorded another Canadian shipment in the category of 'tanks and other armoured fighting vehicles, motorized, whether or not fitted with weapons, and parts of such vehicles.' It took the Canadian government three days to respond to the claims. Foreign Affairs Minister Anita Anand's office said it took the time 'to verify if any of the serious allegations of wrongdoing were true.' In her reply, Anand said the report was flawed and its findings 'are misleading and significantly misrepresent the facts.' The bullets were 'paintball-style projectiles' that cannot be used in combat, Anand's office said. Sen. Woo called that explanation trivializing and suggested Israel is likely using those materials to train its soldiers. Woo was among 32 senators — a third of the Senate — who called for a thorough investigation into what's reaching Israel from Canada. He called Anand's statement 'very limited, slippery and highly defensive.' 'She missed an opportunity to grasp the gravity of the situation in Gaza,' he said. What about aircraft? Advocates argue Canadian components are being used in Israeli fighter jets and drones, citing exports of items such as circuit boards and scopes or cameras. The July report noted that specific companies in Israel receiving Canadian imports have also been equipping Israel's offensive in Gaza. The report pointed to no direct, explicit evidence that Canadian arms had been used on the ground in Gaza. Ottawa insists it is doing everything it can to ensure Canadian components aren't used in Gaza. What about that parliamentary report? On Aug. 4, the Canadian Muslim Public Affairs Council released a report assembled by the Library of Parliament that it said disproves much of what the government has claimed. The July 8 report is marked 'not to be published' and the Library of Parliament said in a statement that it 'provides impartial customized research services for individual parliamentarians,' on the basis that the 'client's research request (will) remain confidential.' The government says the report is a rehash of publicly available information that doesn't contradict what the government has said publicly. Advocates seized on the portion of the report showing two arms permits to send goods to Israel were issued in 2024. Anand's office noted the permits were disclosed to Parliament last June and were issued on Jan. 8, 2024, the day Ottawa stopped issuing new permits. The advocates also noted that the report cited $2.3 million in Canadian sales to Israel listed as 'bombs, torpedoes, rockets, missiles, other explosive devices and charges and related accessories, components and equipment.' Anand's spokesman James Fitz-Morris wrote that these were 'electronic components for detection equipment' in Israel's Iron Dome system, which intercepts and destroys incoming rockets. Did Carney change the Trudeau government's policy? While the government insists it hasn't changed policies, its language has shifted. Joly and her office spoke about non-lethal uses for arms. Anand has avoided that language. 'For a year and a half, we have been clear: if an export permit for an item used to protect civilians is requested, it will be approved,' her office wrote in a statement this week. 'Canada has not approved the export of any lethal weapons or munitions to Israel since January 2024, and any such permit that could have allowed such items were suspended and remains inactive today.' Woo said Anand is 'prevaricating, with the shift in language and … an effort to try to be legalistic about the government's adherence to its own promise.' Fitz-Morris wrote that it would be 'a disingenuous claim, at best' to suggest Ottawa's language has been shifting. 'The government's position has not changed. Minister Anand is not reading from a script. She uses different words sometimes to convey the same message or to add clarity, depending on the circumstances and what she is responding to,' he wrote. 'The only permits that may be granted are for the items used to defend civilians, such as the Iron Dome, and items that are transiting through Israel as part of the global supply chain such as items (whose) end-users include Canada and/or NATO allies.' Why not end all arms exports to Israel? The government says it would compromise the complex supply chains that Canada and its allies rely on if Canada refused to export military goods to Israel, or to import them from that country. 'Any consideration of a two-way arms embargo that would block Israeli-made components from entering Canada would need to take into consideration the impact that would have on Canada, including the (Canadian Armed Forces),' Fitz-Morris wrote. Sen. Woo said Anand should halt all military trade with Israel. 'She's digging a deeper hole for herself and for our government, particularly if there are in fact legal consequences around complicity, aiding and abetting war crimes,' he said. 'We are witnessing, in the memorable words of Amnesty International, a live-streamed genocide. It's tearing at our souls.' Israel says it's in an existential war of self-defence and blames Hamas for the high casualty count. What do Canadians want? In an online survey of 1,522 Canadians conducted by the Angus Reid Institute from July 31 to Aug. 5, 54 per cent said they want Ottawa to ensure Canada is not selling lethal military equipment to Israel. Monday Mornings The latest local business news and a lookahead to the coming week. One-fifth of respondents said they want the restrictions dropped. Another 27 per cent said they were unsure or opted not to respond. Is the government being transparent? 'The Government of Canada tables regular reports concerning arms exports and has provided thousands of pages of documentation to the House of Commons Standing Committee on Foreign Affairs — which the committee then published to its website,' Fitz-Morris wrote. That's not good enough, Woo said. 'To play with words, when a genocide is happening before our very eyes … it's scandalous,' he said. This report by The Canadian Press was first published Aug. 10, 2025.

Opinion: When politics ends the party — and the friendship
Opinion: When politics ends the party — and the friendship

Montreal Gazette

time10 minutes ago

  • Montreal Gazette

Opinion: When politics ends the party — and the friendship

I recently visited some longtime American friends, a group I've shared dinners, stories and laughter with for over a decade. One friend, the 'grand dame' of our circle, always hosts a dinner in my honour. This time, she asked me to help draw up the guest list. That's when I got a message I never expected. A reply from one of our mutual friends read: 'Supporting or associating with Trump lovers goes directly against all that we stand for, and we elect to keep those folks at arm's length. Long arms. We just don't see the point. Let them wallow in the fester that he represents, always trying to reach a new bottom of treacherous evil.' Friendships, tested and even severed — over dinner invitations. We've all read the stories about political polarization in the U.S., how families have been divided since the Trump era, how 'agree to disagree' has become outdated. But seeing it firsthand, with people I've known for years, hit differently. What used to be 'we don't talk politics at the table' has transformed into 'we don't talk at all.' And now I'm seeing the same thing happening in Canada. Not over party lines, but over Israel and Palestine. Social media feeds, once filled with birthday wishes and vacation photos, are now battlegrounds. Old friends are publicly scolding one another, cutting ties, all because of a post, a comment, a flag. The tragedy unfolding in the Middle East is heartbreaking — but the breakdown in human connection here at home adds another layer of grief. There are no winners in these online clashes. No lives are saved, no ceasefires brokered, by social media feuds. What is being lost, however, are the relationships we once held dear. And yet, in some ways, we've mostly figured this out in Quebec. While politicians often try to distract us with familiar debates about language or identity, in daily life, it's mostly irrelevant. Neighbours — some proudly federalist or nationalist, others quietly separatist — have largely worked it out. There's no appetite for old arguments. We've reached a point where we know where we all stand — and that's OK. I remember when election signs would pop up on front lawns, revealing our political leanings. You'd nod in recognition as you walked the dog past a neighbour's house, aware of where they sat on the political spectrum. But noticing wasn't an act of war. We still waved. We still invited each other over. We still coached each other's kids at soccer games. Life seemed simpler then. And maybe that's what we're lacking now — a return to that simplicity, that decency, that unspoken understanding that friendships come first. We must find our way back to respectful disagreement. Instead of cancelling one another over an opinion, we should be asking more questions. How did you come to that view? What shaped your thinking? Even if we never agree, we at least owe each other the dignity of dialogue. The next generation is watching. Our children are absorbing this culture of contempt — and it's poisoning their understanding of community. Relationships are being reduced to political litmus tests. Nuance is being replaced by outrage. And the human connections that once gave us joy, comfort and perspective are being sacrificed at the altar of tribal certainty. So if not for the sake of the friend you once toasted at a wedding or cried with during a crisis, then let's do it for the kids who are learning from us. Let's model a world in which debate doesn't require demolition, and disagreement doesn't spell divorce. Let's pause, breathe and remember: Disagreement isn't betrayal. It's democracy. And dinner should never be a battlefield.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store