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3 days ago
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Presented by U15 CANADA – Canada's Leading Research Universities Send tips | Subscribe here | Email Canada Playbook | Follow Politico Canada Thanks for reading Canada Playbook. In today's edition: → MARK CARNEY and DONALD TRUMP are on the horn. → A one-on-one with Northwest Territories Premier R.J. SIMPSON. → A look back at MARC GARNEAU's early advice on countering Trump 2.0. POLITICO PRO SPACE: Need an insider's guide to the politics behind the new space race? From battles over sending astronauts to Mars to the ways space companies are vying to influence regulators, this weekly newsletter decodes the personalities, policy and power shaping the final frontier. Try it for free for a limited time starting today. Find out more. Trade war PICK UP THE PHONE — One of DONALD TRUMP's allies in Congress has some advice for MARK CARNEY: Call up the president, call him again and then call him some more. Sen. KEVIN CRAMER (R-N.D.), who joined a recent peacemaking congressional delegation to Ottawa that scored face time with Carney, told POLITICO's JONATHAN MARTIN that Trump is keen on a cellphone relationship with world leaders. The president wants to receive constant intelligence from guys like Carney, Cramer said, adding he was aware of at least one informal leader-level conversation between the two following the prime minister's trip to the White House last month. — High-stakes negotiations: Carney appears to have taken the counsel. Trump's Ottawa envoy, PETE HOEKSTRA, revealed to The Globe and Mail that the PM and president are directly engaged in negotiations on a new economic and security relationship. 'The indications that they are talking and in communications regularly is a clear indicator to me that both sides recognize the importance and the urgency of moving this forward,' Hoekstra told the Globe, adding that a prospective deal could touch on autos, critical minerals, defense spending, energy, border security — and steel and aluminum. The ambassador added the talks also include Canada-U.S. Trade Minister DOMINIC LEBLANC, U.S. Commerce Secretary HOWARD LUTNICK and U.S. Trade Representative JAMIESON GREER. — Official lines: The Prime Minister's Office isn't commenting on the Globe report, but Industry Minister MÉLANIE JOLY confirmed to reporters the two leaders are in touch. 'We won't negotiate in public,' she said. 'We'll let the prime minister do his work.' — Elsewhere in trade: Ontario's premier lashed out at any notion that Trump would show warmth to Chinese President XI JINPING, who landed a lengthy morning call with Washington on Thursday. 'China is getting better treatment than their closest allies and friends,' Ontario Premier DOUG FORD. Ford didn't hide his impatience with the Americans during a Thursday spot on MSNBC: 'I'm in constant communication with the prime minister as of even [Wednesday] afternoon, and if it doesn't go too well, then we have to start matching tariff for tariff, dollar for dollar.' — Speaking of China: 'Carney agrees to high-level talks with Beijing on resolving Canada-China trade war,' the Globe's STEVE CHASE reports THE ROOMS THAT MATTER — At 10:15 a.m., federal officials will hold an embargoed background media technical briefing on the introduction of a bill to 'build One Canadian Economy.' — Carney will lead a 12:30 p.m. media availability in West Block alongside ministers DOMINIC LEBLANC, CHRYSTIA FREELAND and TIM HODGSON. — Industry Minister MÉLANIE JOLY is in Hamilton. Joly is scheduled to visit ArcelorMittal Dofasco alongside local MPs LISA HEPFNER, JOHN-PAUL DANKO and ASLAM RANA. The minister will speak to reporters at 12:45 p.m. LISTEN UP, OTTAWA HE THE NORTH — Canada's North is having a moment — and R.J. SIMPSON is here for it. The Northwest Territories premier just wrapped up a trip to Ottawa, where he sat down with Prime Minister MARK CARNEY armed with a wishlist of nation-building projects — one of which is likely to bear fruit in the coming months. The meeting was a refreshing change for Simpson, who says he went through pains to get Ottawa's attention when former Prime Minister JUSTIN TRUDEAU held office. Even landing a meeting used to be a challenge. 'I just met with Prime Minister Carney, and it hasn't been that long since he's been in office,' Simpson told Playbook. 'We've had a number of face-to-face First Ministers Meetings, which was not common in the last government either.' — Breaking the ice: The Liberal government took a renewed interest in the North in January, Simpson said, when President DONALD TRUMP returned to the White House. — Slap on the wrist: In a February trip to D.C. with other premiers, Simpson said U.S. lawmakers flagged Canada's lack of Arctic infrastructure compared to Russia and other Nordic countries. 'They view it as a missing component in their defense,' Simpson said. Some proposed infrastructure projects have languished for up to 70 years, Simpson said. — Elevator pitch: This isn't merely a list-checking exercise for Simpson. Infrastructure projects can feed national defense and economic strategies. They can help Canada meet NATO spending targets, keep China out of its backyard and unlock critical minerals, Simpson insists. The premier teased that some of his priority projects could gain traction 'in the next couple of months.' — Wishlist: That fast track could include an Arctic Security Corridor, Simpson said, which would run through the territory's Slave Geological Project — an untapped critical mineral zone. 'It is one of the most mineral resource-rich areas in the world. We know there's critical minerals. We know there's rare earth elements,' Simpson said. He's also pushing for a road to NORAD's forward operating location in Inuvik — to facilitate military infrastructure and transport goods to communities. — For sovereignty's sake: As past governments pursued different priorities, China has attempted to move in, Premier Simpson said — including by buying into N.W.T. mining firms. — Watch your back: 'We have not received a lot of investment in the North, ever. And when an area is not receiving any investment from their own government, they become more open to investment from elsewhere,' Simpson said. 'It would deter Chinese interference in the North if the North was getting what it needed from the government of Canada.' WHO'S UP, WHO'S DOWN Up: House of Commons confidence in the Liberal government, which watched its throne speech sail through the chamber Wednesday without a recorded vote. Shortly after the anticlimactic victory, Liberal MPs indulged at various Sparks Street watering holes. Down: Canada's merchandise exports, which Statistics Canada said dropped 10.8 percent in April compared to a month earlier. The agency called the country's global trade deficit in merchandise the 'largest … on record' at C$7.1 billion. IN MEMORIAM MARC GARNEAU — The trailblazing astronaut and former Cabinet minister offered what turned out to be his parting thoughts on the trade war with Trump in an April 24 interview with Playbook co-host MIKE BLANCHFIELD. — No illusions: Days before the federal vote, Garneau offered an unvarnished take on the cross-border state of play in Trump 2.0. 'We have to take a very aggressive approach with the full realization that, you know, never mind trying a charm offensive. That's a waste of time. The world order has changed, and at this point there should be no illusions about ever going back to what existed before. And in fact, I think it would be a mistake to try to go back to what existed before,' Garneau said over the phone. 'From Canada's point of view, we have to be resolute in dealing with the tariffs that he ends up imposing on us. There will be pain, there's no question about it.' Most recently, Garneau was the Canadian co-chair of the Canada-Korea Forum. He saw a good opportunity in the Indo-Pacific region to diversify Canada's trade portfolio. — Spreading our wings: 'They are a like-minded country to us, and so we should try to strengthen our trade ties to that part of the world, not only to Europe,' Garneau said. 'I'm also talking about the ASEAN countries, and I'm also talking about India, where we have had some challenges.' MORNING MUST-CLICKS — Top of POLITICO this morning: DONALD TRUMP, White House aides signal a possible détente with ELON MUSK — 'Insiders say Mark Carney could compromise on emissions cap,' reports the Toronto Star's ALEX BALLINGALL. — CP's ANJA KARADEGLIJA reports on Canada's years-long wait for a national disaster response agency. — The House of Commons unanimously voted Thursday for a government-proposed tax cut for middle-income earners. PLAYBOOKERS Birthdays: HBD to House Speaker FRANCIS SCARPALEGGIA and former diplomat HOWARD BALLOCH. Also celebrating today: Quebec Education Minister BERNARD DRAINVILLE, as well as former MPs RAMESH SANGHA and NICK WHALEN. Celebrating Saturday: Liberal MP ROB OLIPHANT, NDP politician JINNY SIMS, former Ottawa Centre provincial Liberal candidate THOMAS SIMPSON, and GUY GALLANT, chief of staff to Agriculture Minister HEATH MACDONALD (40!). On Sunday: Former Bank of Canada governor DAVID DODGE and McMillan Vantage founding partner MARK RESNICK. Spotted: Prime Minister MARK CARNEY, stopping in for lunch at Cocotte Bistro. Environmental activist DAVID SUZUKI, strolling past West Block Thursday afternoon: 'What I'm here to tell people is we have very little time to take big steps, and if we don't take them, guess what? Extinction in our grandchildren's lifetime is what faces us.' Noted: Parliament Hill's cutest dog award went to LOUIS, whose owner is Liberal MP KODY BLOIS … The Bloc Québécois' Bill C-202, a private member's bill that would shield supply management from future trade negotiations, cleared third reading in the House on Thursday by unanimous consent. Movers and shakers: The PM revealed his new parliamentary secretary team. Some standouts: — ALI EHSASSI and TIM LOUIS: Canada-U.S. Trade Minister DOMINIC LEBLANC — ROB OLIPHANT and MONA FORTIER: Foreign Affairs Minister ANITA ANAND — KARIM BARDEESY and CARLOS LEITíO: Industry Minister MÉLANIE JOLY — COREY HOGAN and CLAUDE GUAY: Energy Minister TIM HODGSON — RYAN TURNBULL: Finance Minister FRANÇOIS-PHILIPPE CHAMPAGNE — LESLIE CHURCH: Jobs Minister PATTY HAJDU (with responsibility for persons with disabilities) — ÉLISABETH BRIÈRE is deputy chief government whip, and ARIELLE KAYABAGA is deputy government House leader. JEREMY NIXON, Hogan's Conservative opponent in Calgary Confederation and a former Cabinet minister in Alberta, is now a principal at Navigator in Calgary. Lobby watch: The Canadian Canola Growers Association posted a Wednesday meeting with Agriculture Minister HEATH MACDONALD, Deputy Minister LAWRENCE HANSON and senior political aides. Media mentions: Unionized employees at The Canadian Press are publicly calling out their employer's latest offer amid collective bargaining … La Presse won the 2024 Michener Award. Send Playbookers tips to canadaplaybook@ PROZONE For Pro subscribers, our latest policy newsletter from MIKE BLANCHFIELD: Trump tariffs pound Canada's exports In other Pro headlines: — What do Musk and Tesla want from the Republican megabill? — Army leaders warn US is losing drone race, tout big changes. — Senate bill would add $10B to NASA budget. — GAVIN NEWSOM met privately with Trump's Hollywood ambassador JON VOIGHT TRIVIA Thursday's answer: Six foreign ministers have served since the Liberals were elected in 2015: STÉPHANE DION, CHRYSTIA FREELAND, FRANÇOIS-PHILIPPE CHAMPAGNE, MARC GARNEAU, MÉLANIE JOLY and ANITA ANAND. Props to CHRIS LALANDE, MARCEL MARCOTTE, JOHN PEPPER, ANDREW BALFOUR, STEVE YANG, CHRISTINA DE TONI, SHAUGHN MCARTHUR, ELIZABETH BURN, MARC LEBLANC, DARREN MAJOR, CAMERON RYAN, JEFF VALOIS, JIM REILLY, ROBERT MCDOUGALL, MALCOLM MCKAY, BOB ERNEST, ALEX BALLINGALL, HEATHER CHIASSON, DUANE BRATT, WAYNE EASTER and GARY COLLINS. Props +1 to JEFF VALOIS, too. Friday's question: On this day in history, British and American forces have fought on both the same side and opposing sides. In 1944, they joined forces on the beaches of Normandy. During which war did they once engage in battle on June 6? Answer to canadaplaybook@ Writing Monday's Playbook: MICKEY DJURIC Canada Playbook would not happen without: Canada Editor Sue Allan, editor Willa Plank and POLITICO's Grace Maalouf.
Politico
4 days ago
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- Politico
Steel the show
Presented by U15 CANADA – Canada's Leading Research Universities Send tips | Subscribe here | Email Canada Playbook | Follow Politico Canada Thanks for reading Canada Playbook. Let's get into it. → The steel industry is in Ottawa to push for an aggressive tariff response. → TIM HODGSON reveals his politics origin story. → ANITA ANAND talks up her first trip as foreign minister. → Liberal MPs are acting cautiously around reporters. → Canada loses a giant in MARC GARNEAU. Trade war CLASH OF THE TITANS — Prime Minister MARK CARNEY faces mounting pressure from Ontario Premier DOUG FORD, the steel industry and labor leaders to hit back at the U.S. for doubling tariffs on Canadian steel and aluminum. — Timely tension: Industry Minister MÉLANIE JOLY hosts Canadian steel CEOs on the Hill today amid their calls for retaliation. 'We are looking at different scenarios right now, and we will [make] a decision, but we need a bit more time right now, not too long,' Joly told reporters in Ottawa Wednesday. Ahead of the lobby day on the Hill, Canadian Steel Producers Association CEO CATHERINE COBDEN released a public statement calling for payback. 'We need urgent action to protect our industry by fully re-instating our retaliatory tariffs on the US steel and match this latest American escalation,' Cobden said. — Holding off: Carney would only say his government is 'preparing reprisals' in the case that negotiations fail. 'We will take some time, not much, some time because we are in intensive discussions right now with the Americans on the trading relationship,' Carney told reporters in Ottawa. 'Those discussions are progressing.' — Awkward showdown: Ford and Carney clashed in their approaches on Wednesday, with the Ontario premier accusing the PM of falling short in his response to President DONALD TRUMP. 'You're either standing up for Canada and protecting people's jobs, their livelihoods,' Ford told reporters in Toronto. 'Or you sit back and get steamrolled. That's not what I'm going to do.' — Tit for tat: Ford sided with industry, calling for retaliatory tariffs, and is considering a 25 percent tax on electricity exports from Ontario to the U.S. A similar threat earlier this year caught the attention of Commerce Secretary HOWARD LUTNICK. 'Just seems with President Trump, it's five steps forward and 10 steps backward, and that doesn't help,' Ford said on CNN's 'The Situation Room.' PLAYBOOK'S ONE-ON-ONE GLOVES DROPPED — Energy Minister TIM HODGSON may be a political rookie, but he's a seasoned C-suite pro — especially in energy circles. He's also an enthusiastic rec hockey player. As Hodgson tells MIKE BLANCHFIELD, he is drawing on those worlds to help wage what he calls 'economic war' on U.S. President DONALD TRUMP's tariffs. — How it began: Prime Minister CARNEY has known Hodgson for a long time. He worked with him at the Bank of Canada and Goldman Sachs — and recruited him to run in the recent federal election. 'He asked me because part of this is going to have to be 'build things.' I've done that in my career,' Hodgson said. 'He said, 'I'd like your help. We're in an economic war.'' — What it is: Hodgson likens the trade war to that first Canada-U.S. showdown at the NHL's 4 Nations Face-Off in February — that game where American players started three fights in the first nine seconds. 'It took the three BS fights,' said Hodgson. 'The Canadians came together and said, 'We got this.' … The Americans have dropped their gloves with the trade war. We're gonna come together. We're gonna win this.' — Powering up: 'The grand bargain is we can grow our natural resources, as long as we do it in an environmentally responsible way,' he said. 'That means if we're going to grow our production in the oil sands, we're going to do it with a significantly decarbonized barrel.' Pro subscribers can read the full Q&A. FIRST IN CANADA PLAYBOOK EUROPE-BOUND — Foreign Minister ANITA ANAND is wheels-up this evening on her first overseas trip as Canada's top diplomat. Anand is headed to the U.K. and France for face-to-face check-ins with counterparts DAVID LAMMY and JEAN-NOËL BARROT. Her transatlantic foray is a follow-up to Prime Minister MARK CARNEY's brief stops in both countries immediately following his March swearing-in. — Countdown to Kananaskis: Ten days until G-7 leaders gather in the Canadian Rockies. — Everything is economics: The minister conceives of foreign affairs as an economic portfolio as Ottawa works to overhaul Canada's global trading relationships. In a Wednesday interview, she insisted her past Cabinet gigs have prepped her for a particularly uncertain moment for the country. 'The work that I did in procurement, in defense, in transport, in internal trade, in [industry], was all about building resilient domestic supply chains,' she told Playbook. 'Now I'm taking all of that experience and saying, 'How can I ensure that our international relationships will do what Canadians need now?'' — New approach: A lot about Anand's day-to-day is brand new. Playbook was the first guest in the Confederation Building office where she was only just moving in. (Framed photos still needed to be hung on the walls.) The minister described her overall approach to the job as 'strategic diplomacy' — a targeted effort to 'leverage our international relationships to benefit the Canadian domestic economy.' → Tricky case study: Anand says she brought that spirit to her first conversation with Indian counterpart SUBRAHMANYAM JAISHANKAR. That bilateral relationship is fraught amid an investigation into allegations that link India's government to the killing in Canada of Sikh activist HARDEEP SINGH NIJJAR. 'We discussed a range of issues, including the importance of allowing a relationship to develop one step at a time,' Anand said of that initial chat. She added a big caveat: 'Ensuring that legal processes are followed is foremost amongst the considerations that I undertake as minister, and that includes the investigation into the case that is often brought up in these instances.' ON THE HILL LESS TALKING, MORE WALKING — The Prime Minister's Office has issued clear instructions to Liberal MPs and Cabinet: If you don't have anything good to say, keep walking. Government sources familiar with caucus relations tell Playbook the PMO handed down what they call a new 'directive' after ministers bungled recent hallway scrums with reporters outside the caucus and Cabinet rooms. — First: Housing Minister GREGOR ROBERTSON went viral for saying housing prices don't need to go down in order for homes to be more affordable. — Then: Canadian Identity Minister STEVEN GUILBEAULT forgot what lane he was in, claiming Canada doesn't need more pipelines — and triggering Alberta in the process. — But, but, but: The so-called directive didn't prevent Justice Minister SEAN FRASER from making his own oopsie this week. On Wednesday, he apologized for telling reporters a day earlier that First Nations don't have a veto over nation-building projects. — Cultural shift: The Liberal caucus now scurries to beat the PM to their meetings, because there's an expectation from Carney that everyone arrives on time, the same sources said. Staffers are often nudging their ministers along. Most MPs avoid eye contact with reporters, and many duck out a side exit to avoid confronting journalists altogether. IN MEMORIAM MARC GARNEAU (1949-2025) — Remembrances poured in Wednesday for Garneau, the first Canadian in space and former federal politician who died at 76 after a short illness. 'Marc faced his final days with the same strength, clarity and grace that defined his life,' his wife Pam wrote in a statement. The House of Commons paused for a moment of silence. A selection of reflections: — PM MARK CARNEY: 'Marc strived to build a stronger and safer Canada — always guided by deep and abiding purpose. He believed in progress, in science, in integrity, and in humility. Marc brought leadership, focus, and quiet strength to every file — be it strengthening aviation security in conflict zones or negotiating the release of Michael Kovrig and Michael Spavor.' — Former PM JUSTIN TRUDEAU: 'I first met Marc as a schoolboy in the early 1980s. I was in awe of his service and his courage then, and continued to be as I had the privilege to serve alongside him in Parliament and in government.' — Former Liberal MP KIRSTY DUNCAN: 'Heartbroken to hear of the passing of my friend and former seat mate, Marc Garneau. A renowned astronaut and tireless public servant. He never missed a chance to tell me how much he loved his family.' — Liberal MP MARC MILLER: 'Most of us don't get to meet our heroes, much less work with them and become friends. Marc Garneau's unmatched intellect and clarity of thought were beautiful to admire up close, not to mention his understated but wicked sense of humour.' THE ROOMS THAT MATTER — Defense Minister DAVID MCGUINTY will participate in a meeting of NATO counterparts at NATO Headquarters in Belgium. — Governor General MARY SIMON will present the 2024 Michener Awards during an evening ceremony at Rideau Hall. — At 9 a.m., the Parliamentary Budget Officer will post a legislative costing note on the federal Canada Disability Benefit. — Over the lunch hour, Bank of Canada Deputy Governor SHARON KOZICKI will speak before the C.D. Howe Institute in Toronto. Want more POLITICO? Download our mobile app to save stories, get notifications on U.S.-Canada relations, and more. In iOS or Android . MORNING MUST-CLICKS — The Edmonton Oilers came back to win Game 1 of their Stanley Cup showdown with the Florida Panthers. In overtime, no less. — A POLITICO reporting team on the tips and tricks to a successful Trump meeting — including advice from former senior Trudeau adviser BRIAN CLOW. — From CBC News: Trump's 'big, beautiful' tax reform bill could cost Canadians billions — The Toronto Star reports from Queen's Park: Doug Ford pushes through rapid development law despite objections of First Nations — Alberta Premier DANIELLE SMITH says she sees a 'breakthrough' in talks with Americans on energy, CP's KELLY MALONE reports. PROZONE For Pro subscribers, here's our latest policy newsletter from MIKE BLANCHFIELD: In other news for Pro readers: — Trump calls for scrapping debt limit, in megabill twist. — CBO says Trump's tariffs will reduce budget deficits by $2.8 trillion. — South Korea's new leader faces 'big test' to reach trade deal with Trump — Trump, Senate GOP grapple with the House's SALT math — Trump budget would trigger 'extinction-level event' for NASA PLAYBOOKERS Birthdays: HBD to former PM JOE CLARK and Chief Government Whip MARK GERRETSEN (50!). Spotted: MPs from all parties, streaming out of the House Wednesday evening after the government's throne speech cleared the chamber without a recorded vote … Toronto Star deputy Ottawa bureau chief ALEX BALLINGALL, caught on camera cycling through a recent rainstorm. Movers and shakers: Sen. DAVID ADAMS RICHARDS, a Trudeau appointee to the Red Chamber, joined the Conservative Senate caucus … Sen. FARAH MOHAMED joined the Independent Senators Group. Lobby watch: CUPE posted a May 29 meeting with Labor secstate JOHN ZERUCELLI's chief of staff, NOÉMIE FISET-TREMBLAY, about working conditions for flight attendants. Got a document to share? A birthday coming up? Send it all our way. TRIVIA Wednesday's answer: The late JIM FLAHERTY most recently unveiled a June budget shortly after the 2011 election. Props to ANDREW BALFOUR, PATRICK DION, REID ALEXANDER, JOHN ECKER, DAVID GRANOVSKY, DARRYL DAMUDE, DARREN MAJOR, SHAUGHN MCARTHUR, MARC LEBLANC, AIDEN MUSCOVITCH, MALCOLM MCKAY, CAMERON RYAN, CHRIS LALANDE, ROBERT MCDOUGALL, JOHN PEPPER and ALYSON FAIR. Today's question: How many Canadian foreign ministers have served since Liberals came to power in 2015? Send your answer to canadaplaybook@
Politico
5 days ago
- Business
- Politico
Tariff double trouble
Presented by U15 CANADA – Canada's Leading Research Universities Send tips | Subscribe here | Email Canada Playbook | Follow Politico Canada Thanks for reading Canada Playbook. In today's edition: → Canada braces for a fresh round of punishing Trump tariffs. → Liberals hope a border security bill makes a splash in Washington. → Stay tuned for the first confidence vote of the Carney era. Trade war TARIFFS APLENTY — President DONALD TRUMP delivered another economic punch to Canada's steel and aluminum sectors on Tuesday by doubling tariffs to 50 percent. The news landed minutes before Playbook sat down for an interview with Energy and Natural Resources Minister TIM HODGSON. 'Look, we can't control what happens south of the border,' he said. 'It's disappointing when you look across the border and see what's happening and the misunderstanding, but that's the Americans' decision.' Stay tuned for more from MIKE BLANCHFIELD's conversation with the minister. — Word from the top: A few hours after Trump followed through on his threat, Prime Minister MARK CARNEY's office released a statement calling the escalation 'unlawful and unjustified.' The PMO said the government is 'engaged in intensive and live negotiations to have these and other tariffs removed.' — No warning: Trump's late afternoon announcement came shortly after Canada-U.S. Trade Minister DOMINIC LEBLANC left a meeting with Commerce Secretary HOWARD LUTNICK in Washington. LeBlanc and Canadian ambo KIRSTEN HILLMAN offered no indication that Lutnick gave them the courtesy of a heads up. Instead, Carney's Washington whisperer was spinning his way through the chaos — not for the first time. LeBlanc told reporters their meeting was a 'positive' exercise in relationship building. 'Mr. Lutnick listens very carefully. He takes notes, he asks questions. We do the same thing,' LeBlanc said. 'And every time we have these conversations, I think we deepen our understanding of each other's positions. And I'm hopeful that we can get to the best outcome for Canadians.' — No crystal ball: It was just three weeks ago that the PM told Sky News in an interview that he didn't think Trump's White House would inflict further tariff wrath on Canada.. 'They could put more tariffs on us. That's always a possibility, conceptually,' Carney told the British broadcaster. 'I don't think that's going to happen, because we're now moving towards a more constructive place.' — Countdown to the showdown: Eleven days until the G7 leaders summit that Trump is expected to attend. MAYBE THIS'LL WORK — Carney's government spent Tuesday selling its new border security bill to the Trump administration — and a domestic audience back home. — Catching up: Public Safety Minister GARY ANANDASANGAREE discussed details of the 'Strong Borders Act' with Trump's 'border czar' TOM HOMAN in a call Tuesday. — But, but, but: As the two countries hash out a new economic and security deal, Anandasangaree pushed back on the idea that Canada wants to give the president a win. 'This is about delivering a win for Canada, ensuring that our borders are safer, our communities are safer,' he told reporters. 'And of course we're responding to some of the concerns that have been posed by the White House.' — What's in it: The bill would introduce new ineligibility rules for the refugee system; 'enhance' the RCMP's ability to share sex offender information with the U.S. and other allies; facilitate border guards' ability to inspect exports at certain ports; and allow the Canadian Coast Guard to share intelligence and conduct patrols. There's more. CP's JIM BRONSKILL has the full breakdown. — Long time coming: Several measures in the legislation were promised in December, when former Prime Minister JUSTIN TRUDEAU was still in office, in an attempt to persuade Trump to drop his tariff threat. (Parts of the bill had been in the works even longer to address gaps in the system, a Public Safety Canada official told Playbook.) — Political bonus points: Liberals are also making an effort to show they are cracking down on crime. Voters booted Liberals from several key seats in the Greater Toronto Area, where crime was a top-of-mind issue for many. Those defeats could have cost Carney a majority win. Want more POLITICO? Download our mobile app to save stories, get notifications on U.S.-Canada relations, and more. In iOS or Android . ON THE HILL FIRST TEST — The Liberals aren't freaking out about a confidence vote expected later today in the House of Commons. They plan to declare victory. Sure, they'll end up voting for a non-binding resolution that calls on them to unveil an economic update before the House adjourns for the summer. But Government House Leader STEVEN MACKINNON wasn't stressed out about it on Tuesday. — Quick backstory: A united opposition narrowly won a Monday vote on a Conservative amendment to a customary Liberal motion that thanked the king for delivering the throne speech. The CPC proposal called for an 'economic update or budget' before MPs hit the barbecue circuit — and the party made hay of the win on Tuesday. — Pish posh: MacKinnon dismissed Monday's non-binding vote. 'I suspect you're going to see a lot more of them,' he told reporters, implying the opposition can fill its boots with motions that don't actually force the government's hand. MacKinnon mocked the amendment's instruction to 'urge' the government to reveal its economic plan. 'I think we'll take note of having been urged,' he said. — Quick analysis: FAREES NATHOO, vice president of strategy and risk at Enterprise Canada, credited his former Liberal colleagues' approach. 'They're focused on delivering tangible change through the legislative agenda, not on procedural distractions,' Nathoo, who formerly ran point on parliamentary affairs for CHRYSTIA FREELAND, told Playbook. THE ROOMS THAT MATTER — It's caucus day on Parliament Hill. — Prime Minister MARK CARNEY will attend caucus and question period. — Defense Minister DAVID MCGUINTY is in Belgium. First on his agenda: a wreath laying at the Commonwealth War Graves Brussels Town Cemetery. He will also participate in a meeting of the Ukraine Defense Contact Group at NATO Headquarters in Brussels. — The Canadian Labour Congress' BEA BRUSKE, the Canadian Chamber of Commerce's CANDACE LAING and the Federation of Canadian Municipalities' CAROLE SAAB will hold a 1 p.m. press conference in West Block to 'outline the urgent need for a coordinated federal response to defend Canadian jobs, businesses and communities.' MORNING MUST-CLICKS — CBC's MURRAY BREWSTER reports on German and Norwegian officials urging Canada to buy new submarines from European allies. — B.C. Premier DAVID EBY says he won't support a new oil pipeline through British Columbia. — From our Washington colleagues: White House allies 'disappointed' at ELON MUSK's opposition to megabill. — What's next for the Canada-U.S. trade war? Via Substack, CHRISTOPHER SANDS proposes four scenarios. — Former Alberta Premier JASON KENNEY sat for nearly an hour with The Hub's HARRISON LOWMAN. Kenney spoke about provincial separatism, oil and gas and what's next for Canadian conservatism. PROZONE Our latest Pro PM Canada subscriber newsletter by MIKE BLANCHFIELD and MICKEY DJURIC: OECD on Trump's tariff hit on Canada Other headlines for Pro subscribers: — EU proposes junking its strict self-driving car rules in Trump trade talk gambit — House GOP leaders eye next week for vote on spending cuts — Will the Senate GOP salvage the IRA energy credits? PLAYBOOKERS Birthdays: HBD to Conservative MP MIKE LAKE and Sandstone Group's NARESH RAGHUBEER. Former Hill staffer NICHOLAS KANG also celebrates. Noted: The results of Tuesday's private members' business draw, which determines the order in which MPs can present their own bills or motions in the House — or trade their spots with a colleague in the chamber. Here's the top 10: — Liberal MP PETER FRAGISKATOS; Liberal MP LESLIE CHURCH; Conservative MP FRANK CAPUTO; Liberal MP ALI EHSASSI; Bloc Québécois MP MARIO SIMARD; Liberal MP AHMED HUSSEN; Liberal MP LISA HEPFNER; Liberal MP TERRY BEECH; Bloc MP XAVIER BARSALOU-DUVAL; and Liberal MP TATIANA AUGUSTE. — Any MPs named parliamentary secretaries are ineligible for the list, which will be updated when the parlsec roster is released. Spotted: Ontario Premier DOUG FORD, signing a Canadian football for U.S. ambo PETE HOEKSTRA: 'PETE, YOU ARE A CHAMP' … RICK TACHUK, president of AmCham Canada, meeting with Alberta Energy Minister BRIAN JEAN. At Beer Canada's packed reception: Cabinet ministers, MPs, lobbyists, staffers and journalists who sipped pints as they scarfed down sliders, poutine and maple bacon donuts. Ottawa's western sky, colored by a smoky Tuesday sunset. Movers and shakers: SABRINA MADDEAUX is now director of strategic communications in Global Public Affairs' Toronto office. Lobby watch: The Council of Canadian Innovators blitzed Ottawa on Tuesday, when 19 member CEOs met Procurement Minister JOËL LIGHTBOUND and Deputy Minister ARIANNE REZA; Industry Minister MÉLANIE JOLY and DM PHILIP JENNINGS; Public Safety DM TRICIA GEDDES; MARK SCHAAN, deputy secretary to Cabinet for AI; Liberal MPs JENNA SUDDS and YASIR NAQVI; and senior officials across several federal bodies. TRIVIA Tuesday's answer: The mass protest movement that set its sights on the nation's capital in 1935 was known as the On-to-Ottawa Trek. Props to AMY SCANLON BOUGHNER, JOSEPH PLANTA, MARCEL MARCOTTE, HUGUES THÉORÊT, DARRYL DAMUDE, MARC SHAW, KEVIN BOSCH, PAUL PARK, DOUG SWEET, MICHAEL POWELL, GORDON RANDALL, BOB PLAMONDON, ELIZABETH BURN, JEFF VALOIS, SAAHIL JAFFER, SHAUGHN MCARTHUR, CYRUS REIMER, ROBERT MCDOUGALL, JENN KEAY, J.D.M. STEWART, RAY DEL BIANCO, RALPH LEVENSTEIN, MALCOLM MCKAY, JOHN PEPPER, SUSAN KEYS and CHARLES DILLON. Wednesday's question: Who was the most recent finance minister to unveil a federal budget in June? Answers to canadaplaybook@ Writing tomorrow's Playbook: NICK TAYLOR-VAISEY and MICKEY DJURIC.
Politico
6 days ago
- Business
- Politico
Peacemakers
Presented by U15 CANADA – Canada's Leading Research Universities Send tips | Subscribe here | Email Canada Playbook | Follow Politico Canada Welcome to Canada Playbook. In today's edition: → A gaggle of American mayors play peacemaker north of the border. → The Liberals lose their first vote in the House of Commons. → RFK, avian flu and a British Columbia ostrich farm that won't play ball. Trade war LOVE THY NEIGHBOR — Columbus Mayor ANDREW GINTHER is on a mission to repair the Canada-U.S. relationship — but even he finds himself clashing with Canadians. The central Ohio mayor said he's hurt over Canada banning American-made goods, canceling trips to the States and booing 'The Star-Spangled Banner' at sporting events. 'I think the inflammatory rhetoric, the threats, that type of emotional language is not helpful,' Ginther told Playbook in Ottawa last week. 'Obviously those things are hurtful. If somebody boos during my national anthem, I'm going to take notice of that.' → Callback: U.S. Ambassador to Canada PETE HOEKSTRA shared similar feelings with POLITICO last month, calling it 'outrageous' that American products were banned from Canadian shelves. — They started it: Still, Ginther is trying to show outsiders that there's no bad blood between the neighbors. 'I think there are a lot of people from outside the United States and Canada who think that somehow the Canadian people and people in the United States are at odds, or there's some sort of tension and anger,' Ginther said. Canadians canceling their vacations might argue the tension is still there: Canadian resident car trips to the U.S. in April dropped year-over-year for the fourth consecutive month, Statistics Canada data shows — down significantly from pre-Trump 2.0 levels. — Feeling the pinch: Trump's tariffs have also hit American communities. Mayor BRYAN BARNETT of Rochester Hills, a suburb of Detroit, said the tariffs are driving investment out of his town. About 30 percent of companies are planning layoffs, largely in the automotive sector, and almost 60 percent of businesses are cutting off new investment in 2025, Barnett said. In Ohio, the trade war is driving housing prices by up to 10 percent, Ginther said, partly due to a rise in Canadian lumber costs. And an $8 billion transit project is in 'peril,' as many of the new vehicles the state was set to purchase come from Canada, Ginther added. — Keep 'em coming: Ginther and Barnett joined a U.S. delegation of mayors that attended the recent Federation of Canadian Municipalities annual meeting in Ottawa. It was the second delegation of U.S. politicians to land in Ottawa within a week. A bipartisan group of senators met days earlier with Prime Minister MARK CARNEY and a handful of Cabinet ministers. — Their assignment: Help repair the strained relationship between the two countries. The mayors mingled with their Canadian counterparts, roasted the Toronto Maple Leafs while on a panel with Toronto Mayor OLIVIA CHOW, and took in Carney's speech on Friday. → First impressions: Ginther described the PM as having a 'thoughtful' approach to the United States. Barnett offered a different take: 'Sneaky funny,' he said of Carney. 'I thought he had a great sense of humor, which is kind of a fun thing if you're in this business.' ON THE HILL CURVEBALL — The Liberal government narrowly lost a House of Commons vote on Monday evening that will keep parliamentary affairs experts busy this week. MPs were voting on a Conservative amendment to a Liberal motion that thanks the king for delivering the throne speech. The CPC proposal called for an economic update before MPs adjourn for the summer. — Tally it up: That amendment passed 166-164 — a margin almost as slim as it gets. A few Liberal MPs didn't manage to register their votes. On the video of proceedings, Government House Leader STEVEN MACKINNON is visible on his phone following the result. ANDREW SCHEER, the Conservative leader in the House, strolled across the aisle for a conversation with his counterpart. — The words to parse: The CPC amendment called on the government to make 'a firm commitment to present to Parliament an economic update or budget this spring, before the House adjourns for the summer.' — What does it mean: MPs still haven't voted on the amended Liberal motion, and if or when they do, a handful of House watchers told iPolitics the result would likely not be binding on the government. Still, Liberals would face pressure to do something. For your radar BIRDS OF A FEATHER — It had to be a nose-to-the-grindstone Friday for officials at the Canadian Food Inspection Agency. After all, lengthy end-of-week press releases — 771 words, in this case — don't write themselves. Especially when they reinforce the government's intention to enforce a cull of potentially diseased ostriches in the name of public safety. — Friends in high places: CBC News pulled together the threads of a simmering story in British Columbia, where an ostrich farm protecting its flock scored an endorsement from U.S. Health and Human Services Secretary ROBERT F. KENNEDY JR. — Origin story: Avian flu was detected last December in ostriches at a farm called Universal Ostrich in remote and rural Edgewood, B.C. The owners fought for the survival of their birds after the CFIA determined — based on longstanding policy — that the flock be offed. Or, as the federal agency puts it, 'humane depopulation with veterinary oversight at the infected premises.' — Sick birds: The infected ostriches were found to carry a 'highly pathogenic avian influenza' that could transfer to other animals, including poultry — or, on occasion, humans. The CFIA implemented a 'stamping-out' protocol to protect the spread of the disease that is recommended by the Terrestrial Animal Health Code published by the World Organisation for Animal Health. — Ostrich champs: The owners have fought for the survival of their ostriches, securing support from RFK and fellow Trump admin'er DR. MEHMET OZ, the administrator of the Centers for Medicare & Medicaid Services. They argue the birds should be allowed to live because they could serve scientific research. — The official debunking: 'Universal Ostrich Farm has not substantiated their claims of scientific research. CFIA has not received any evidence of scientific research being done at the infected premises,' the agency said in its statement, referring to the May 13 Federal Court ruling upholding its right to take action against the ostriches. — Bird bust?: A spokesperson for Agriculture Minister HEATH MACDONALD told Playbook the minister is receiving regular updates on the situation. 'The CFIA's work is being done to protect human and animal health, our poultry sector, and access to our international trade markets,' said ANNIE CULLINAN. 'The agency is moving ahead with the planned cull, but operational details will not be shared with the public in advance.' — Pro tip: A lengthy federal backgrounder on the topic makes clear that an RCMP presence 'is now required for any CFIA on-farm activities.' Where the leaders are — At 6:30 p.m., Green Leader ELIZABETH MAY will attend the National Council of Canadian Muslims' reception on the organization's national advocacy day. THE ROOMS THAT MATTER — Canada-U.S. Trade Minister DOMINIC LEBLANC is meeting with Commerce Secretary HOWARD LUTNICK in Washington, D.C. — At 8:30 a.m., the Frontier Duty Free Association and Sarnia Mayor MIKE BRADLEY hold a press conference calling for federal support for border businesses. — At 12 p.m., MPs will gather for a random draw that determines the all-important private members' business order of precedence. Check back tomorrow for the winner. — U.S. Ambassador to Canada PETE HOEKSTRA will sit for a fireside chat at the Empire Club of Canada in Toronto — and host an evening reception while he's in town. Want more POLITICO? Download our mobile app to save stories, get notifications on U.S.-Canada relations, and more. In iOS or Android . TALK OF THE TOWN TRIVIA NIGHT — LIMITED HOSPITALITY squeaked out the victory in Playbook's first post-election trivia showdown at the Métropolitain. The winners scored 26 points out of 30. — Runner-up: LPC OF THE 80s (25) — Third place: LET'S CIRCLE BACK TO THAT (24) MORNING MUST-CLICKS — From CBC's KATE MCKENNA: 'A caller raising money for the Conservative Party cast doubt on the validity of the recount process in the recent federal election, according to a recording obtained by CBC News.' — CP's JIM BRONSKILL tees up a government bill expected today that would 'further tighten' the Canada-U.S. border. — CBC News captured broad takeaways from the First Ministers' Meeting in Saskatoon: Premiers express optimism after pitching major projects to Carney — A different take in the Toronto Star: Mark Carney, premiers agree on 'nation-building priorities,' but First Nations raise alarms over lack of consultation — Nunatsiaq News checks in on a major infrastructure project in Nunavut: The Kivalliq Hydro-Fibre Link's estimated cost rises to C$3.2B — North Poll Strategies' ALEX KOHUT interviews former Hill comms guy ALEX WELLSTEAD about dealing with journalists: 'It's their job to really push on you to get something.' PLAYBOOKERS Birthdays: HBD to Conservative Party Leader PIERRE POILIEVRE, retired Sen. HOWARD WETSTON, and CUPE senior comms officer HUGH POULIOT. HBD + 1 to Health Minister MARJORIE MICHEL and Rogers' CHERYL FOUGERE. Spotted: Liberal MP SHERRY ROMANADO, celebrating Christmas come early (aka fresh printed versions of the House of Commons standing orders). Noted: The Hunter Prize for Public Policy is open for applications. This year's award — worth up to C$50,000 — will focus on 'the best ideas to strengthen Canada's economy and raise living standards,' SEAN SPEER and TAYLOR JACKSON write at The Hub. Movers and shakers: Former Cabmin OMAR ALGHABRA joins Bechtel as their vice president of public infrastructure for Canada … Longtime PMO staffer KATE VANGERVEN is taking a break from Parliament Hill … KATE SAUSER is now policy manager at the Grain Growers of Canada … DAVE CAREY is now president and CEO of the Canadian Coatings Association. The official updated list of ministerial chiefs of staff circulated yesterday. These are the newest names: → ANSON DURAN: Artificial Intelligence Minister EVAN SOLOMON → VASKEN VOSGUIAN: Transport Minister CHRYSTIA FREELAND → CORY PIKE: National Defense Minister DAVID MCGUINTY → ANN-CLARA VAILLANCOURT: Quebec Lieutenant STEVEN GUILBEAULT → ALLIE CHALKE: Procurement Minister JOËL LIGHTBOUND → TANIA MONAGHAN: Indigenous Services Minister MANDY GULL-MASTY → ALEX JAGRIC: Secstate for children and youth ANNA GAINEY → KEVIN COLLINS: Secstate for CRA and financial institutions WAYNE LONG Lobby watch: Porter O'Brien's JORDAN O'BRIEN posted recent meetings on behalf of Horizon Naval Engineering, which wants Ottawa to lease or purchase its icebreakers. O'Brien made contact with CYNDI JENKINS in the Prime Minister's Office and NEIL MACISAAC, chief of staff to Fisheries Minister Joanne Thompson. Got a document to share? A birthday coming up? Send it all our way. PROZONE Our latest policy newsletter for Pro subscribers: Tilting at building big — and fast The latest headlines for our paid subscribers: — Energy Department budget guts clean energy programs, boosts nuclear — Interior Department to rescind conservation protections in Alaska oil reserve — USDA's delayed report raises forecast ag trade deficit to record $49.5 billion — Chaos at FEMA, NOAA as hurricane season starts — Florida insurers turn a profit after losing billions TRIVIA Monday's answer: The Bank of Canada most recently left its target rate unchanged at two consecutive announcements in March and April 2024. Props to ANDREW BALFOUR, ROBERT MCDOUGALL and MALCOLM MCKAY. Today's question: Which mass protest movement set its sights on the nation's capital on this day in 1935? Answers to canadaplaybook@ . Wednesday's Playbook will be written by MICKEY DJURIC and NICK TAYLOR-VAISEY. Canada Playbook would not happen without: Canada Editor Sue Allan, editor Willa Plank and POLITICO's Grace Maalouf.
Politico
02-06-2025
- Business
- Politico
Nation-builders, unite
Presented by U15 CANADA – Canada's Leading Research Universities Send tips | Subscribe here | Email Canada Playbook | Follow Politico Canada Happy Monday. Thanks for reading Canada Playbook. Let's get into it. → MARK CARNEY has his right-hand man. → Carney and the premiers enter decision mode in Saskatoon. → What else we're watching: Parliament, interest rates and postal workers. THE FIRST THING RIGHT-HAND MAN — At long last, MARK CARNEY has a permanent chief of staff. MARC-ANDRÉ BLANCHARD, Canada's former top envoy at the U.N., starts in July. Carney confirmed the hire on Sunday. — CV scan: Blanchard served on JUSTIN TRUDEAU's transition team in 2015 and then repped Trudeau's government at the U.N. for a little more than four years. (He left that post shortly after Canada lost a bid for the Security Council.) — Sounds like Carney: When Blanchard was honored by the Public Policy Forum in April, his remarks would've gone over well in the Prime Minister's Office. We've plucked three quotes from that speech delivered with some of Ottawa's top bureaucrats in the room. → 'To succeed in delivering faster, we need to remember that excellence in public policy does not require perfection. It requires progress, delivery and results.' → 'In today's world, with this climate, this economy, this global uncertainty, the real breakthroughs, the ones that will shape the next generation, will come when both sectors, public and private, start truly collaborating.' → 'There is no shortcut to trust. There is only the steady, honest, often uncelebrated, work of listening, of engaging with people who disagree with us, not thinking we know better, of standing in someone else's shoes, of doing the right thing and the right thing is often not theoretical perfection, but a good old Canadian compromise, even when it's hard.' Trade war TRUMPQUAKE — Canada's steel industry spent the weekend acclimating to new levels of anxiety after DONALD TRUMP told a crowd of steel workers near Pittsburgh on Friday that he would double tariffs on steel imports to 50 percent. The Canadian Steel Producers Association warned that tariff hikes would 'create mass disruption and negative consequences across our highly integrated steel supply chains and customers on both sides of the border.' — The official line: Canada-U.S. Trade Minister DOMINIC LEBLANC kept his powder dry over the weekend, confirming he had 'taken note' of Trump's escalation. → Elsewhere in tariffs: U.S. Commerce Secretary HOWARD LUTNICK told Fox News on Sunday that Trump will always find a way to keep tariffing trading partners, whatever courts might rule about the legality of his measures. 'He has so many other authorities that even in the weird and unusual circumstance where this was taken away, we just bring on another or another or another. Congress has given this authority to the president, and he's going to use it,' Lutnick said. LISTEN UP, OTTAWA DECISION TIME — Get used to hearing about 'nation-building.' That phrase will be all the rage at today's First Ministers' Meeting in Saskatoon, where Prime Minister MARK CARNEY and the premiers will hash out how to make the most out of Confederation. Carney teed up the agenda-topper during his interview last week with CBC's DAVID COCHRANE: 'We need to move on these nation-building projects. So projects that bring Canada together, projects that diversify our economy, projects that help us export to new markets and really move this economy forward.' — Wish lists: Early on in his time as PM, Carney asked premiers to submit priorities. Last week, reporters got their hands on a May 23 briefing document that shows a 'national interest' bill is in the works to fast-track nation-building projects with a streamlined regulatory approval process. Ottawa consulted provinces on the legislation. — Compare/contrast: Yukon Premier RANJ PILLAI is in the room today — his final FMM before he steps down as premier in a few weeks. We asked Pillai to compare former PM JUSTIN TRUDEAU's style at the premiers table to Carney's approach. 'Prime Minister Trudeau made time for a dialog to happen. So there was always a respectful exchange,' Pillai told us last week on the sidelines of CANSEC, the defense and security trade show that took over Ottawa's EY Centre. 'The difference now, which is more suited for me, is we are walking into meetings with a goal, and we're driving to an output. It's much more like a business meeting versus a political dialog. And that's the type of structure and platform we need now,' Pillai said. — Action items: Pillai's first go-around with Carney in charge was at the Canadian War Museum on March 21 — days before the PM called an election. 'My reflection [was] there might have been some policy differences, but everybody was walking out of that meeting very impressed with the decisions that were being made in real time, and entrusting our own abilities, and the people around us, to work at that speed,' Pillai said. — Pressure's on: Carney has set sky-high expectations for today's confab — a major test of his commitment to, and these are his words, 'Build, baby, build.' → Step by step: Alberta Premier DANIELLE SMITH and Ontario Premier DOUG FORD signed a memorandum of understanding meant to knock down trade barriers. The Globe reported that Ford also struck deals with Saskatchewan and Prince Edward Island. TALK OF THE TOWN NEXT UP: TRIVIA NIGHT — Our next Playbook Trivia Night is booked for this evening at the Met. Doors open at 7 p.m. First round starts at 7:30. — We still have a few tables available. RSVP via this Google Form. THREE THINGS WE'RE WATCHING PARLIAMENT — The government won't fall this week, nor any time soon. Don't expect the kind of brinkmanship that eventually comes to shape most minority governments. But we will get our first taste of voting patterns in a House of Commons only days removed from the pomp of a throne speech. — Voting time: MPs will spend most of the week arguing about the priorities laid out in the speech delivered by the king. Today, they'll vote on a Conservative motion tied to the throne speech debate that calls on the government to unveil an 'economic update or budget' before the chamber adjourns for the summer later this month. Spoiler alert: Liberals are waiting for the fall for their big budget reveal. They won't side with ANDREW SCHEER's crew on this one. — Opposition day: The House will debate the government's main estimates on Thursday — a spending package that requires parliamentary approval in order for the federal supply of money to keep flowing. Which means the opposition get to introduce a 'supply day' motion meant to spur headlines and create a little mischief. BANK OF CANADA — Odds are low that TIFF MACKLEM will budge the central bank's target rate from 2.75 percent when he steps up to a mic on Wednesday for his regularly scheduled rate announcement. Economists widely expect Macklem to stand pat for the second time in a row. — CIBC's AVERY SHENFELD has his sights set on later this year: 'Since the tariff outcome could now take longer to resolve amidst legal uncertainties we could end up getting only one 25 [basis point] cut this year, perhaps in Q4, rather than the two cuts we had projected.' — BMO's DOUG PORTER projects rates will eventually settle at 2 percent, but the bank might not rush to get there: 'We continue to believe that this is not the end of the line for rate cuts, but we are officially pushing back our timing of those trims, to restart in late July, and perhaps stretching into early next year.' LABOR RELATIONS — The Carney government is staring down its first labor relations test. Canada Post and the union that represents 55,000 postal workers are getting nowhere at the bargaining table. The employer wants Jobs Minister PATTY HAJDU to force a vote on a final offer sent to the Canadian Union of Postal Workers. In a statement, the union instead invited Canada Post to 'fair, final and binding arbitration to resolve all outstanding issues at the bargaining table.' — Context: Following a punishing postal strike last year, Ottawa tasked a commission with recommending a path forward for the two sides. WILLIAM KAPLAN's final report painted a bleak picture of the national postal service's viability — including this line: 'Canada Post is facing an existential crisis: It is effectively insolvent, or bankrupt. Without thoughtful, measured, staged, but immediate changes, its fiscal situation will continue to deteriorate.' — Government response: Hajdu and the secstate for labor, JOHN ZERUCELLI, have met with both sides in recent days. 'I urged both parties to continue working together to find an agreement that works for both parties and maintains a strong and lasting postal industry,' Hajdu said in a statement. MORNING MUST-CLICKS — The Globe's STEPHANIE LEVITZ writes that Conservative Leader PIERRE POILIEVRE could face a leadership review as early as March. — The Canadian Press reports: Manitoba officials say wildfire contained in Flin Flon, wind change could push it into city — From CBC News: No relief in sight from wildfires as 20 Sask. communities under evacuation orders — The inaugural episode of 'The Conversation' with POLITICO's DASHA BURNS: DR. OZ on the future of Medicaid, Trump's megabill and AI avatar health care" — From the Toronto Star: Memories, markdowns and mannequins — and a designer in mourning — mark the final day at Hudson's Bay Toronto flagship store — DAN MCCARTHY asks in Ottawa Life: Is an energy corridor the new national dream or an Ottawa mirage? Where the leaders are — Prime Minister MARK CARNEY attends the First Ministers' Meeting in Saskatoon. — Green Party Leader ELIZABETH MAY will meet with mayors from British Columbia and attend Parliament in person. THE ROOMS THAT MATTER — International Trade Minister MANINDER SIDHU is in Paris to attend the Organisation for Economic Co-operation and Development Ministerial Council Meeting, participate in meetings with WTO ministers and host a G7 trade ministers' meeting. — U.S. Commerce Secretary HOWARD LUTNICK will give the keynote speech at the U.S.-India Strategic Partnership Forum's Leadership Summit 2025. Second lady USHA VANCE will also sit down for a fireside chat. PROZONE For Pro subscribers, our latest policy newsletter: Made in America? Not so fast In other news for Pro readers: — White House plans to pull nomination for NASA administrator — Trump tells Congress what to chop in 22 percent budget slashing — 'Trump time' becomes a liability for president's tariff agenda PLAYBOOKERS Birthdays: HBD to former broadcaster KEVIN NEWMAN. Noted: Canada's embassy in Washington is hiring a senior foreign policy and diplomacy service officer who will focus on Congress. Salary: $126,662 (that's U.S. dollars). Movers and shakers: A new tranche of ministerial chief-of-staff announcements made the rounds over the weekend. → CAROLINE LEE (Environment Minister JULIE DABRUSIN) → SAVANNAH DEWOLFE (Justice Minister SEAN FRASER) → SETH PICKARD-TATTRIE (Crown-Indigenous Relations and Northern Affairs Minister REBECCA ALTY) → TANIA AMGHAR (Indigenous Services Minister MANDY GULL-MASTY). Lobby watch: Aecon Group posted two May meetings about infrastructure projects with PMO chief of staff MARCO MENDICINO … The Canadian Steel Producers Association reported meetings in May with International Trade Minister MANINDER SIDHU, Canadian ambo in D.C. KIRSTEN HILLMAN, Finance senior policy adviser MATHEW HALL and a group of senior bureaucrats at Public Services and Procurement Canada. Media mentions: CTV's 'Question Period' won the Canadian Screen Award for best political news program or series. Also among this year's winners: 'CTV National News with OMAR SACHEDINA' for best national newscast; CBC's ADRIENNE ARSENAULT for best national news anchor; Global National's JEFF SEMPLE for best national reporter; CBC Indigenous' JACKIE MCKAY for best local reporter; CTV's AVERY HAINES for best host or interviewer (news or information). — The Winnipeg Free Press' JEFF HAMILTON and KATRINA CLARKE received this year's Don McGillivray Award at the Canadian Association of Journalists' annual gala. Check out the rest of the winners. — CNN fact-checker DANIEL DALE is moving home to Canada, where he will remain with the network. Got a document to share? A birthday coming up? Send it all our way. TRIVIA Friday's answer: Hanlan's Point Beach in Toronto was recently commemorated on a stamp because it once hosted the 1971 Gay Day Picnic. Canada Post notes the event was 'considered the first major gathering of queer people in Canada and an early example of what we now know as Pride.' Props to ROB OLIPHANT, MARCEL MARCOTTE, JOHN PEPPER, ELIZABETH BURN, CHRIS RANDS, BOB GORDON, RAY DEL BIANCO, JUSTIN MARGOLIS, DARRYL DAMUDE, CID CABILLAN, ATUL SHARMA, MALCOLM MCKAY, ROBERT MCDOUGALL and JENN KEAY. Today's question: When did the Bank of Canada most recently leave its target rate unchanged at two consecutive announcements? Send your answer to canadaplaybook@ Canada Playbook would not happen without: Canada Editor Sue Allan, editor Willa Plank and POLITICO's Grace Maalouf.
