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Global News
07-05-2025
- Business
- Global News
Carney to brief premiers on Trump meeting: ‘More work to do'
Prime Minister Mark Carney is expected to brief Canada's premiers today following his seemingly successful first meeting with U.S. President Donald Trump on Tuesday. Carney and Trump spent about two hours together at the White House, including about half an hour in front of the cameras in the Oval Office, and a private luncheon. Both leaders were accompanied by senior members of their cabinets and their chiefs of staff. It was their first face-to-face discussion about U.S.-Canada relations and Trump's ongoing trade war since Carney was sworn in as prime minister on March 14. Both leaders emerged from it appearing pleased with how it had gone, with Trump indicating he liked Carney and that there had been no tension during their talks. Story continues below advertisement Carney said the leaders are now 'fully engaged,' but that there's 'a lot more work to do.' The prime minister said he will host a call with Canada's premiers Wednesday to discuss his conversation with Trump and the work that needs to be done. Carney said he and Trump agreed to have further conversations in the coming weeks. That will include another in-person discussion in June when Carney hosts G7 leaders, including Trump, at a summit in Alberta. 'Really, today marked the end of the beginning of a process of the United States and Canada redefining that relationship of working together,' Carney said. 2:13 Carney-Trump meeting watched around the world 'The question is how we will co-operate in the future. How we can build an economic and security relationship built on mutual respect, built on common interests that delivers transformational benefits to our economies.' Story continues below advertisement Carney made clear that the two had met as the leaders of 'sovereign nations' having told Trump in public and private multiple times that Canadians are not interested in becoming American, and that that will never change. Get daily National news Get the day's top news, political, economic, and current affairs headlines, delivered to your inbox once a day. Sign up for daily National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy He said in his meeting with the premiers, Canada will focus on what it can control. 'We are going to reinforce our strength at home,' Carney said, noting that his government will reinforce security and boost the economy. Fen Hampson, professor at the Norman Paterson School of International Affairs at Carleton University and co-chair of the Expert Group on Canada-U.S. Relations, said Carney has to manage a 'two-track set' of negotiations moving forward. He will have to face upcoming negotiations on the Canada-U.S.-Mexico trade agreement, which is scheduled to be reviewed in 2026, but Trump has indicated he wants reopened sooner. Then there is the 'more immediate' negotiating challenge of getting tariffs lifted. 'That's the first order of the day because I think he recognizes, our government recognizes, that you can't be renegotiating NAFTA when essentially the Americans have broken the back of the agreement with these very punitive tariffs, particularly our manufacturing sector,' Hampson said. Carney said at his press conference Tuesday that, with respect to the importance of re-establishing a constructive relationship for negotiations of an economic and security partnership, he looks 'forward not back' and thinks the leaders established a 'good basis.' Story continues below advertisement 5:17 Ontario's trade minister sees progress in ever-changing Trump tariff threats While Trump said Tuesday that there was nothing Carney could say to get him to lift the tariffs immediately, Hampson said the president is 'quite capable' of changing his mind. 'We've seen that before in many cases, we've even seen it with tariffs. He's imposed tariffs and then lowered them or delayed them,' Hampson said. What's going to work in Canada's favour, Hampson said, is that the American economy is 'about to tank' as a result of tariffs imposed on Canada and other countries, like China. Hampson said the challenge will be getting Trump to understand the importance of Canada's market. Carney is expected to name a new cabinet next week, ahead of the return of Parliament at the end of the month. Hampson said he suspects the prime minister will be making some changes to his core team and that he's going to have to pick people who are who are 'tough and good negotiators.' Story continues below advertisement 'As he looks to potential cabinet appointments, he really needs to look at them not just in terms of their management and ministerial skills, but in terms of their negotiating skills because they're going to have to do some of the negotiating,' Hampson said.
Winnipeg Free Press
07-05-2025
- Business
- Winnipeg Free Press
Carney says there's 'more work to do' after meeting with Trump
OTTAWA – Prime Minister Mark Carney is expected to brief Canada's premiers today following his seemingly successful first meeting with U.S. President Donald Trump on Tuesday. Carney and Trump spent about two hours together at the White House, including about half an hour in front of the cameras in the Oval Office, and a private luncheon. Both leaders were accompanied by senior members of their cabinets and their chiefs of staff. Prime Minister Mark Carney and U.S. President Donald Trump engage in a meeting at the White House in Washington, D.C., Tuesday, May 6, 2025. THE CANADIAN PRESS/Adrian Wyld It was their first face-to-face discussion about U.S.-Canada relations and Trump's ongoing trade war since Carney was sworn in as prime minister on March 14. Both leaders emerged from it appearing pleased with how it had gone, with Trump indicating he liked Carney and that there had been no tension during their talks. Carney said the leaders are now 'fully engaged,' but that there's 'a lot more work to do.' The prime minister said he will host a call with Canada's premiers Wednesday to discuss his conversation with Trump and the work that needs to be done. Carney said he and Trump agreed to have further conversations in the coming weeks. That will include another in-person discussion in June when Carney hosts G7 leaders, including Trump, at a summit in Alberta. 'Really, today marked the end of the beginning of a process of the United States and Canada redefining that relationship of working together,' Carney said. 'The question is how we will co-operate in the future. How we can build an economic and security relationship built on mutual respect, built on common interests that delivers transformational benefits to our economies.' Carney made clear that the two had met as the leaders of 'sovereign nations' having told Trump in public and private multiple times that Canadians are not interested in becoming American, and that that will never change. He said in his meeting with the premiers, Canada will focus on what it can control. 'We are going to reinforce our strength at home,' Carney said, noting that his government will reinforce security and boost the economy. Fen Hampson, professor at the Norman Paterson School of International Affairs at Carleton University and co-chair of the Expert Group on Canada-U.S. Relations, said Carney has to manage a 'two-track set' of negotiations moving forward. He will have to face upcoming negotiations on the Canada-U.S.-Mexico trade agreement, which is scheduled to be reviewed in 2026, but Trump has indicated he wants reopened sooner. Then there is the 'more immediate' negotiating challenge of getting tariffs lifted. 'That's the first order of the day because I think he recognizes, our government recognizes, that you can't be renegotiating NAFTA when essentially the Americans have broken the back of the agreement with these very punitive tariffs, particularly our manufacturing sector,' Hampson said. Carney said at his press conference Tuesday that, with respect to the importance of re-establishing a constructive relationship for negotiations of an economic and security partnership, he looks 'forward not back' and thinks the leaders established a 'good basis.' While Trump said Tuesday that there was nothing Carney could say to get him to lift the tariffs immediately, Hampson said the president is 'quite capable' of changing his mind. 'We've seen that before in many cases, we've even seen it with tariffs. He's imposed tariffs and then lowered them or delayed them,' Hampson said. Winnipeg Free Press | Newsletter Winnipeg Jets Game Days On Winnipeg Jets game days, hockey writers Mike McIntyre and Ken Wiebe send news, notes and quotes from the morning skate, as well as injury updates and lineup decisions. Arrives a few hours prior to puck drop. Sign up for The Warm-Up What's going to work in Canada's favour, Hampson said, is that the American economy is 'about to tank' as a result of tariffs imposed on Canada and other countries, like China. Hampson said the challenge will be getting Trump to understand the importance of Canada's market. Carney is expected to name a new cabinet next week, ahead of the return of Parliament at the end of the month. Hampson said he suspects the prime minister will be making some changes to his core team and that he's going to have to pick people who are who are 'tough and good negotiators.' 'As he looks to potential cabinet appointments, he really needs to look at them not just in terms of their management and ministerial skills, but in terms of their negotiating skills because they're going to have to do some of the negotiating,' Hampson said. This report by The Canadian Press was first published May 7, 2025.
CBC
04-02-2025
- Business
- CBC
From oranges to booze, here's where a trade war with the U.S. will hurt Canadians in their wallets
Social Sharing You might have whiplash if you've been following the trade war this week. After weeks of threats, U.S. President Donald Trump said Saturday he was officially slapping a 25 per cent tariff on virtually all Canadian goods and a 10 per cent tariff on Canadian energy. In retaliation, Canada said it would start by applying a 25 per cent tariff on $30 billion worth of American goods coming into the country — followed by another $125 billion worth of U.S. imports in three weeks' time. Reactions in Canada have been swift. People are boycotting U.S. products. "Buy Canadian" groups are proliferating on social media, some with hundreds of thousands of new followers. Several provinces said they were pulling U.S. booze from liquor store shelves. And then, on Monday afternoon, after a couple of conversations with Prime Minister Justin Trudeau, Trump agreed to a 30-day pause. But as analysts have pointed out, that doesn't mean the trade war is over. The threats of tariffs and counter-tariffs have highlighted some important economic vulnerabilities, said Fen Osler Hampson, a professor of international affairs and co-chair of the Expert Group on Canada-U.S. Relations at Carleton University in Ottawa. "If you get into a full-blown tariff war, you're going to generally make everything more expensive," Hampson said. "Everybody's going to take a hit." And while "buy Canadian" measures are great in theory, the knock-on effects of tariffs and counter-tariffs will drive up demand and prices of Canadian-made products, too, Hampson said. "We face the same problem as Americans, which is that we don't produce everything we consume." Canada is the largest export destination for U.S. goods, Scotiabank explained in a Jan. 31 report on Canada-U.S. trade. In 2023, Canada exported $593 billion Cdn worth of goods to the United States and imported $484 billion worth of U.S. products, the financial institution said. WATCH | Why buying local isn't so simple: At the end of November, the Canadian Chamber of Commerce estimated Trump's 25 per cent tariff would cost Canadians about $1,900 per person annually. Energy, autos, mining, pharmaceuticals, chemical and forestry products would be the most heavily impacted sectors, Stephen Tapp, the chamber's chief economist, wrote in the report. The independent think-tank Public Policy Forum estimates that retaliatory tariffs could cause consumer prices to rise by 4.1 per cent. Retail sector, grocery items particularly vulnerable The Canadian energy sector, which was facing a 10 per cent tariff, will be slightly less vulnerable simply because the U.S. needs what we produce, Hampson said. For example, Canada is the country's No. 1 source of oil imports. But the scale of the proposed U.S. tariffs and Canadian counter-tariffs will cause damage to the retail sectors on both sides of the border, the Retail Council of Canada said in a statement on Monday. Specifically in terms of counter-tariffs, Canadians are likely to be most affected by grocery items, due to thin margins and few Canadian alternatives for some products, Matt Poirier, vice-president of federal government relations at the Retail Council of Canada, told CBC News. While the Canadian counter-tariffs singled out U.S. meat, poultry, dairy, cheese and eggs, most of those items on grocery shelves here are already Canadian, Poirier said. But the same can't be said for other products, such as limes and oranges. "I think the big one right now is produce," he said. "This time of year, in the middle of winter, we're importing most of our produce from the southern United States." Fresh fruit and vegetables were the second-most exported food item from the U.S. to Canada in 2023, according to the U.S. Department of Agriculture. As the Fruit and Vegetable Growers of Canada pointed out in a statement on Monday, Canada's fruit and vegetable sector is deeply intertwined with the U.S. market, exporting $4.4 billion annually. Juice, cereal likely to cost more Tomatoes, cucumbers, citrus fruits like oranges and grapefruits, melons, berries and stone fruits like peaches and cherries were singled out in Canada's proposed counter-tariffs. And given that these perishable items can't be stockpiled in advance, consumers could expect to see prices jump on those immediately after any tariffs come into effect, according to the RSM Real Economy Blog. Ottawa's counter-tariffs also went after orange juice from Florida, home to Trump's Mar-a-Lago estate in Palm Beach. Canada imported $596 million in fruit juice in 2022, primarily from the U.S., according to the Observatory of Economic Complexity. "Canada is one of the most important markets for U.S. citrus (and specifically Florida citrus)," notes the Florida Department of Citrus. There are very few Canadian options, so if tariffs come into play, consumers can likely expect to see price increases on their already expensive OJ. Grains will take a hit from tariffs and counter-tariffs, too, Carleton University's Hampson said, affecting everything from breakfast cereal to pancake mix. Baked goods, cereal and pasta were the top consumer-oriented food exports from the U.S. to Canada from 2019 to 2023, with nearly $2.8 billion US in sales in 2023, according to the U.S. Department of Agriculture. The Canadian government's list of counter-tariffs specifically mentions grain products, including wheat, rye, barley, oats and rice, as well as pasta. What about alcohol? Beer, wine and liquor have certainly received a lot of attention in the tariff war. Before Trump and Trudeau agreed to the 30-day pause, Canada's counter-tariffs also went after booze, including wine, beer, cider, whisky, rum, gin, vodka, brandies and tequila. In addition, several Canadian provinces ordered American-made liquor off the shelves. According to the U.S. Census Bureau, 35 per cent of the country's wine exports came to Canada last year, as did 11.2 per cent of its beer exports and 10.6 per cent of its hard liquor exports. Key brands like Don Julio tequila and Jack Daniel's whisky from producers like Diageo and Brown-Forman would become more expensive for U.S. and Canadian drinkers if importers hike prices to cover the cost of future tariffs, Reuters reports. Some analysts estimated brands like Diageo's Crown Royal Canadian whisky would rise in price by as much as 10 per cent in the U.S., threatening to hurt sales. And until Canadian producers ramp up production, Canadian booze sold here would get more expensive as people look for replacements for California wines and Kentucky bourbon, Hampson said. "Yes, by all means, buy Canadian. But until they can really ramp up production to meet demand ... they're going to raise the price." 'We're not making enough of it ourselves' Canada's proposed counter-tariffs also specifically mentioned cosmetics, including perfumes and makeup; toiletries, including shampoo, toothpaste, deodorant and soap; and various clothing items, including coats, jackets, suits, shirts, skirts, pants, shorts, dresses, underwear, bras, pyjamas, babywear, sports clothing, socks, scarves, gloves and belts. The approximate annual dollar value of imported cosmetics and body-care items is $3.5 billion, reports The Canadian Press. And the U.S. is Canada's largest supplier of beauty products, according to the Observatory of Economic Complexity. The U.S. is Canada's second-largest supplier of textiles and clothing imports, after China, according to World Bank data. Any tariffs or counter-tariffs will affect these items, Hampson said. If the price of energy goes up, it costs more to run the factories and more to ship the items — key factors of production that get more expensive. And again, if more people seek Canadian alternatives, the increased demand boosts the prices of Canadian-produced goods — unless suppliers can very quickly increase their production, he said. "People tend to forget that. There's a knock-on effect. Shifting demand to Canadian producers — there's a reason why we buy American or buy Chinese. It's because we're not making enough of it ourselves." WATCH | Canadians clap back at tariffs: Canadians clap back at American neighbours over tariffs 17 hours ago Duration 2:45 From booing the U.S. national anthem to skipping American items at the grocery store, a simmering trade war has some Canadians feeling more patriotic and less polite with their southern neighbours.
