Prime Minister Mark Carney is open to returning to the negotiating table with the Trump administration, provided the U.S. shows genuine interest in an economic partnership and stops treating Canada as inferior, he stated in Lévis, Que., on Monday. Carney emphasized the existing trade agreement between Canada and the U.S. (CUSMA), acknowledging its benefits but also highlighting room for improvement. However, he stressed the need for the U.S. to cease its threats against Canadian businesses and citizens to enhance the deal further.
Carney announced Canada’s withdrawal from the negotiations on Friday due to last-minute “unfair” and “uneconomic” demands introduced by the U.S. team. These demands, if accepted, would have limited Canada’s ability to engage in trade deals with other nations and posed a threat to the French language by undermining subsidies to French-language media and bilingual product labeling. Approximately $28 billion worth of Canadian exports to the U.S. were subjected to 50% tariffs over the weekend.
The proposed auto deal by the U.S., which included a substantial increase in tariffs on Canadian automobiles, car parts, and steel effective January 1, was deemed unacceptable by Carney. The Prime Minister viewed this as an attempt to deteriorate Canadian industries over time. He expressed concerns over the U.S.’s intentions to undermine crucial sectors through unfair negotiating terms.
Ontario Premier Doug Ford suggested imposing a surcharge on electricity in response to the latest U.S. tariffs, pointing out that various Canadian provinces supply energy to the U.S. Ford argued that it is becoming less viable to provide energy to the U.S. for producing goods that compete with Canadian products. Carney supported the idea, emphasizing Canada’s significance as an energy and industrial products supplier to the U.S.
During his visit to Lévis, Carney announced an $11.3 billion funding initiative for Quebec’s shipbuilding industry to construct six new icebreakers for the Canadian Coast Guard using domestically sourced steel. Quebec Premier Christine Fréchette emphasized the province’s focus on strengthening the economy and remained open to exploring various measures, including potential surcharges on energy sent to the U.S.
While Carney outlined conditions for Canada’s return to negotiations, U.S. Vice-President JD Vance indicated ongoing talks and expressed respect for the negotiation process. Vance echoed sentiments from President Trump, criticizing Canada’s trade policies and labeling it as ungrateful. He noted Canada’s military underinvestment and suggested that the country heavily relies on U.S. protection. Vance criticized Canada’s trade practices, accusing it of imposing unfair tariffs on Maine products.