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Time Magazine
27-04-2025
- Politics
- Time Magazine
Ahead of Canada's Election, Secretary of State Marco Rubio Speaks Out on Trump's Plans to Annex the Country
On the eve of Canadians gearing up to vote in a federal election, Secretary of State Marco Rubio addressed President Donald Trump's previous comments about making Canada the '51st state.' During an appearance on NBC's Meet the Press on Sunday, April 27, host Kristen Welker questioned Rubio on whether or not the State Department has 'taken any steps to carry out' Trump's plans 'as he has said, to annex Canada.' 'What the President said, and he has said this repeatedly, is he was told by the previous Prime Minister [Justin Trudeau] that Canada could not survive without unfair trade with the United States, at which point [Trump] asked, 'Well, if you can't survive as a nation without treating us unfairly in trade, then you should become a state,'' Rubio said. Rubio's comments come after a back-and-forth between Canada's former Prime Minister Trudeau and Trump about how Canada should deal with the pressures felt by Trump's tariffs. Canada has also countered with a 25% tariff on goods imported from the U.S. Trump has repeatedly said both on social media and to reporters that Canada could become the 51st state of the U.S. When asked in the Oval Office by reporters if there was anything Trudeau could 'give' to Trump amid ongoing tariff discussions, Trump reiterated that as a state, there would be no tariffs on the country. 'What I'd like to see; Canada become our 51st state,' Trump said. 'If people wanted to play the game right, it would be 100% certain that it would become a state.' Canada's current Prime Minister Mark Carney has also spoken out on Trump's persistent comments about annexing Canada. He said Trump raised the matter during a phone call in March. Speaking at a campaign press conference, Carney said: "To be clear, as I've said to anyone who's raised this issue in private or in public, including the President, it will never happen." In an April 22 interview with TIME, Trump doubled down on his previous statements and said he was 'really not trolling' about making Canada the 51st state, arguing that America doesn't 'need anything from Canada.' 'We're taking care of their military. We're taking care of every aspect of their lives, and we don't need them to make cars for us. In fact, we don't want them to make cars for us. We want to make our own cars. We don't need their lumber. We don't need their energy. We don't need anything from Canada,' Trump said. 'And I say the only way this thing really works is for Canada to become a state.' Trudeau—who stepped down in January as Canada's Liberal Party leader—has previously told lawmakers and business leaders to take the threat of annexation seriously, with several outlets reporting that at a Canada-U.S. Economic Summit in Toronto in February, Trudeau suggested that Trump wants access to Canada's critical minerals. 'Mr Trump has it in mind that the easiest way to do it is absorbing our country and it is a real thing," he said. As mentioned, Rubio's new comments land a day before Canada's April 28 federal election, which could see a new leader in place for negotiations about tariffs with the United States. Trump's comments have weighed heavily on the Canadian elections thus far, with the Liberal Party utilizing a Canadian wave of nationalism that has resulted from the ongoing trade concerns. The country's next leader could decide the fate of Canada's critical relationship with the U.S. and how that will look moving forward. 'They're going to have a new leader. We'll deal with a new leadership in Canada,' Rubio said. 'There are many things to work cooperatively with Canada on, but we actually don't like the way they treated us when it comes to trade, and the President has made that point when he responded to the previous Prime Minister.'
CBC
06-03-2025
- Business
- CBC
Why critical minerals are a bargaining chip in the Canada-U.S. trade war
Social Sharing Over history, gold and silver coins have been major trade darlings, and can still spur investor frenzy depending on how they're faring in markets. But as industries and economies deepen their dependence on critical minerals, these metals appear to be becoming as valuable as any commodity or currency. Last week, Ukraine President Volodymyr Zelenskyy aimed to sign a minerals deal with the U.S. in hopes of securing longer-term support during the war against Russia. But the Oval Office meeting with President Donald Trump was cut short and any deal put on hold as the two, along with the U.S. vice-president, got wrapped up in a fiery exchange. The two presidents appear to still be willing to work towards a deal. Ukraine isn't known for its critical minerals, but it does have reserves of copper, lithium, cobalt and nickel, and rare earth elements such as lanthanum, cerium and neodymium. These are essential components of many of today's rapidly growing energy technologies. While mining companies may be hesitant to set up shop in a country that has been embroiled in a war, the Ukraine-U.S. talks show critical minerals can be used as a negotiating tool as countries scramble to secure supply chains amid an uncertain economic climate. Critical minerals are helping drive modern economies because they're essential in the production of smartphones, computers, electric vehicles, renewable energy systems, batteries and satellite systems. Securing access to critical minerals Under the previous U.S. administration of Joe Biden, hundreds of millions of dollars were on offer for Canadian firms mining or processing critical minerals. The U.S. Department of Defence funded several projects north of the border with no strings attached in a bid to boost the North American supply and reduce dependence on China. The Trump administration, however, seems to be favouring a different approach to secure the U.S. supply chain. Prime Minister Justin Trudeau recently told business leaders at the Canada-U.S. Economic Summit in Toronto that Trump's threat to annex Canada "is a real thing" motivated by his desire to tap into the country's critical minerals. However, annexation would be an impractical way for the U.S. to access Canada's critical minerals, according to Andrew Grant, associate professor in political studies at Queen's University in Kingston, Ont. "Logistically, it would be very difficult to implement." Grant said there's a long history of Canada-U.S. co-operation, between companies and the different levels of government. The U.S. crossing the border uninvited would disrupt this collaboration and knowledge exchange, ultimately making it harder to extract the minerals from the ground for all involved. Grant suggested that if Canada were to leverage critical minerals as a bargaining tool in the trade war, it could secure some advantages. "I think it is something that if done in the proper way, it could be something that would perhaps result in concessions coming back Canada's way," he said. "It would perhaps be even more valuable than what would be sent in terms of access to certain critical mineral deposits." Could Canada cut off access to critical minerals? Ontario and B.C. have threatened to slap export bans on critical minerals if the U.S. maintains its 25 per cent tariffs, launched Tuesday, on Canadian goods. The federal government has yet to make that threat, but it has intervened in the mining industry before in the name of geopolitics. It ordered three Chinese resource companies to sell their interest in Canadian critical mineral firms in 2022. One of these companies was Power Metals, a junior miner advancing a cesium project near Cochrane in northern Ontario. Australians were quick to buy up the interests left behind by Chinese interests and Power Metals is now looking to enter into production next summer. Cesium is used in atomic clocks, electronics, and oil and gas drilling, to name a few. China currently dominates the entire supply chain for this mineral, hence the U.S. interest in seeing mines open up in North America. The company still needs partners to open its mine and was in talks with the U.S. Department of Defence for funding opportunities last year. "The change of government in the U.S. sparked the closure of pretty much all that funding," said Haydn Baxter, chief executive officer of Power Metals. "It's reopened … but we won't be looking at it until the dust settles south of the border." Baxter said his company isn't concerned the current trade war could slow its project down. Tariffs themselves are not a benefit, but the increased interest in critical minerals is, he said. "The U.S. can impose tariffs, but they'll get to a point where they're not buying from China and they can't get supply elsewhere, and they've got supply in Canada. "I think it's a bit of muscle flexing to align things better for the U.S., but it won't be sustainable." 'Where else are they going to get it?' Ian London, executive director of the non-profit Canadian Critical Minerals and Materials Alliance (C2M2A), also said the U.S. is using threats as a negotiating tactic. "You don't have to cross the border or make these threats — collaboration is key." London said Canada has a lot of leverage because the U.S. doesn't have many options if it's looking for supplies outside China. "Where else are they going to get it? "Mining is not the big cost — it's the transportation and movement. Are they going to buy raw materials in Australia and get boatloads into the Panama Canal?" London asked. "It's a very complex supply chain. And while we're talking and continuing in a trade war, China is implementing another five year plan." London said Canada should put its resources into processing and manufacturing, and not mine critical minerals. "As long as it remains in the ground, it's an advantage … We shouldn't be mining it and selling it to others," he said. "We should mine it, refine it and produce the manufactured products. That is what's in Canada's interests."
CBC
12-02-2025
- Business
- CBC
King and other premiers hit Washington hoping to open Americans' eyes to 'quicksand' of tariff fallout
Social Sharing Prince Edward Island's premier says Canada's ongoing trade dispute with the United States will ultimately lead to a higher cost of living for people on both sides of the border. Dennis King was in Washington, D.C., on Tuesday, along with other Canadian premiers, to talk with leaders in the U.S. about the strained trade relationship between the two countries. The trip comes just a day after U.S. President Donald Trump announced punishing tariffs on Canadian steel and aluminum — with the threat of more tariffs looming. "Sometimes in politics and business, you have to deal with shifting sand, but this is like quicksand under our feet," King told CBC News of the political and economic uncertainty levied by Trump. "The rules just keep changing, and I think it's frustrating for many of the politicians that we're speaking to south of the border." At the moment, the U.S. is threatening two actions: An economy-wide 25 per cent tariff on goods from Canada and Mexico has been paused until March 4 as the Trump administration works on border-security deals with both countries. A tariff of 25 per cent on steel and aluminum imported into the U.S. from anywhere in the world is set to start March 12. On Tuesday night, Trump said the Canada-wide tariff would be bundled on top of the other 25 per cent tariff for aluminum and steel products. Meanwhile, Trump is threatening even more tariffs for a variety of reasons, including on automobiles. The U.S. is deeply reliant on Canadian aluminum, in particular, and critics of the tariffs say they will merely punish U.S. companies importing a product they will need for the foreseeable future. King said that punishment will ultimately be passed along to consumers. "At the end of the day, it's what the consumer pays at the grocery store, what they pay for their electric bill that's going to really be the defining factor in this," he said. "I think Americans will begin to see that the tariffs mean it's going to cost them more to live every day, and I don't think that's what they signed up for in November when they chose the path they have." 51st state idea 'wrong-headed' Taken together, Trump's proposed tariffs are so punitive that many question whether the president's threats are real or merely leverage for negotiations to get the best terms on a new three-way trade deal involving the U.S., Canada and Mexico. Trudeau says Trump's comments about absorbing Canada are serious 5 days ago Duration 0:20 Following his public remarks at the Canada-U.S. Economic Summit, Prime Minister Justin Trudeau told business and labour leaders that U.S. President Donald Trump's comments about making Canada the 51st state are 'a real thing.' Trudeau's comments were heard over the loudspeakers. Adding fuel to the fire, Prime Minister Justin Trudeau was recently heard on a hot mic telling business leaders at the Canada-U.S. Economic Summit in Toronto that Trump's threat to annex Canada as a 51st American state "is a real thing" motivated by a desire to tap into this country's critical minerals. "Mr. Trump has it in mind that the easiest way to do it is absorbing our country and it is a real thing," Trudeau said, before a microphone cut out at the start of the closed-door meeting. King said Tuesday he was "offended" at the notion of annexation. "I think it's short-sighted and… wrong-headed. We're going to stand up for ourselves, and our best relationship with the United States is one that's fair on both sides of the border," he said.
CBC
08-02-2025
- Business
- CBC
Washington's view on annexing Canada — This is a joke, right? Right?
In normal times, a G7 and NATO leader accusing a U.S. president of craving annexation would be a headline-detonating, multi-megaton blast of news, leaving shock waves for months. These aren't normal times. Donald Trump's repeated talk of annexing Canada is almost universally treated as a joke in Washington. Or, maybe, as a negotiating ploy. If it's neither, the U.S. president would face a Himalayan climb to make it a reality. The consensus in Washington that he can't be serious — right? right? — is reflected in the scant immediate coverage of eye-popping remarks made Friday by Prime Minister Justin Trudeau, who was overheard telling business leaders that, yes, Trump really would like to take over Canada. Apparently, the U.S. president made a cryptic comment in his Monday afternoon phone call with Trudeau about having read a 1908 treaty setting the Canada-U.S. boundary and finding it interesting. He did not elaborate. The story was at the bottom of the home page of the New York Times, its site awash in stories about allegedly unlawful actions by the new administration. It was halfway down the home page on the Wall Street Journal, below routine economic news and wasn't on the Washington Post's main page at all. Nor has all this talk even come up at recent congressional hearings where Canada featured prominently: one on trade and tariffs, one on minerals. At the latter, a Democrat mocked Trump for threatening tariffs on a neighbour that has vital aluminum copper, cobalt, graphite, lithium and more. "The stable genius has decided to start a trade war with [Canada]," said Rhode Island Rep. Seth Magaziner, invoking a phrase Trump once used to describe himself. There was no mention of making Canada a 51st state and changing the political map of North America and electoral map of the United States. Republican Sen. Ted Cruz waved off Trump's plan on his podcast this week, calling it "an epic troll… I think he was just yanking [Trudeau's] chain." WATCH | Trump is serious, Trudeau says: Trudeau says Trump's comments about absorbing Canada are serious 16 hours ago Duration 0:20 Following his public remarks at the Canada-U.S. Economic Summit, Prime Minister Justin Trudeau told business and labour leaders that U.S. President Donald Trump's comments about making Canada the 51st state are 'a real thing.' Trudeau's comments were heard over the loudspeakers. Gargantuan roadblocks A reason to discount this talk might be the poor politics of it: Canadian statehood is slightly to massively unpopular, according to U.S. public opinion polls. It seems highly dubious that this unloved, highly complex and deeply controversial plan would gain a critical enough mass of support to win a vote in the U.S. Congress, let alone the extreme longshot of Canada approving it. Some existing U.S. territories know this from experience. They've been working for decades to get such votes through Congress. One veteran of the battle says even if there were enough supporters in Congress, the actual votes would be a political minefield. Lawmakers would have to agree to dilute their own power — transferring about five dozen House seats to Canada, plus, depending on the number of new states introduced, two, four, or six Senate seats. "That would fundamentally change the balance of power within that body," said George Laws Garcia, executive director of the Puerto Rico Statehood Council. "So is that something that Congress is going to just jump into? I don't think so." And there's little time: Trump's party has a razor-thin House majority and could lose it in the midterms in 23 months. If he keeps talking about unpopular ideas like annexing Canada, Trump might unwittingly expedite that process. Weighing Trump's endgame The bits of evidence, however, that Trump is dead serious about territorial expansion are starting to accumulate into a hard-to-ignore mountain. He mentioned it in his inaugural address. He keeps talking about it — in the context of Canada, Panama, Greenland and now Gaza. His Middle East envoy is a property developer and Trump is talking about building properties in Gaza after moving residents elsewhere; Trump's son-in-law Jared Kushner mused about something similar months ago. There's enough evidence to suspect that Trump is no longer satisfied by his current station as a two-term U.S. president — and that he has imperial ambitions. Which might not be surprising given that two biographies of the man, including one written by his niece, include the words "never enough" in the title. But some people who study U.S. global hegemony still aren't buying it. One analyst of imperialism in U.S. history tells Canadians he has no expectation of sharing a nation in his lifetime. "As pleased as I'd be to be your compatriot, I wouldn't wager much on it happening," said Daniel Immerwahr, professor at Northwestern University, and author of How to Hide an Empire. He says he believes Trump delights in shocking people — in saying outlandish things, either for fun, or in pursuit of some goal. WATCH | Threats and jabs from Trump: Trump's escalating rhetoric against Canada 1 month ago Duration 2:42 That goal, he said, might be a new trade deal with Canada, or his desired outcome in Gaza, or a new security arrangement in Greenland and the Panama Canal. He's not ruling out the possibility Trump is serious, however. If so, Immerwahr says, he's seeking no less than a return to the global order as it existed before the Second World War. In that view, gone is the world where the U.S. usually hid its hard power and used soft-power instruments like trade, aid and global institutions to exert its massive influence and achieve desired outcomes. This would be a return to the world where great powers threaten the territory of their neighbours — Immerwahr says, mentioning China, Russia and, now, the U.S. The Gaza annexation talk might be similar, says Stephen Wertheim, an analyst of U.S. statecraft and strategy at the Carnegie Endowment for International Peace. He expressed doubt that the MAGA faithful are clamouring for a Middle East nation-building exercise with so much destructive potential. The idea of annexing Western Hemisphere territory, he says, harkens back to the 19th century and the Monroe Doctrine, as Trump alluded to in his inaugural address by talking about expanding the U.S. But whatever Trump is doing, it's still a watershed moment. "To the extent Trump is using threats of annexation merely as negotiating ploys, we're pretty much in uncharted territory," said Wertheim, author of the book Tomorrow, the World: The Birth of U.S. Global Supremacy. WATCH | 'We'll own' Gaza, Trump says: Can the U.S. really take over Gaza? | About That 2 days ago Duration 12:10 President Donald Trump's proposal for the U.S. to take ownership of Gaza and relocate two million Palestinians has sparked widespread condemnation from world leaders. Andrew Chang breaks down how international law, the question of Palestinian statehood and geopolitical stability challenge Trump's idea.
CBC
07-02-2025
- Business
- CBC
Trump tariffs could be ‘worse than expected,' says former Bank of Canada governor
Former governor of the Bank of Canada Stephen Poloz warns of potential fallout from President Donald Trump's tariff threats on the day politicians and business leaders confer in Toronto for the Canada-U.S. Economic Summit. Power & Politics hears from Poloz and as well as president and CEO of Business Council of Canada Goldy Hyder on potential solutions to Canada's trade troubles.
