Canada's Carney Urges Trade Shift as US Tariffs Bite, Calls Nostalgia "Not a Strategy"

In a video address titled "Forward Guidance" posted on his social media, Carney provided an assessment of the current Canada-US relations, Xinhua news agency reported.

"The US has fundamentally changed its approach to trade, raising its tariffs to levels last seen during the Great Depression," Carney said, referring to the heavy duties currently impacting Canada's automotive, steel and lumber industries.

Since early 2025, the United States has maintained a series of punishing tariffs on Canadian exports, including 25 per cent on various goods and 50 per cent on steel and aluminum. These measures have significantly disrupted North American supply chains and pressured Ottawa to seek new economic frontiers.

Noting that his government has already signed 20 new trade deals across four continents over the past year, Carney outlined a strategy focused on attracting global investment, harmonising interprovincial trade regulations within Canada, and doubling Canada's clean energy capacity to reduce external volatility.

"Hope isn't a plan and nostalgia is not a strategy," Carney added, signaling that Canada will not wait for a return to previous norms of bilateral cooperation.

He pledged to provide regular updates to the public on the country's diversification efforts, stressing that while the government's plan is gaining momentum, the process of structural economic adjustment will take time.

Carney said tariffs imposed by US President have affected workers in the auto and steel industries. He added that businesses are holding back investments "restrained by the pall of uncertainty that's hanging over all of us."

Many Canadians have also been angered by Trump's comments suggesting Canada become the 51st State.

- IANS