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Carney Meets Trump to Ease US-Canada Tensions Over Trade Tariffs

Carney Meets Trump to Ease US-Canada Tensions Over Trade Tariffs

Post by : Rameen Ariff

Canadian Prime Minister Mark Carney is set to meet U.S. President Donald Trump at the White House on Tuesday, at a time when relations between the two nations are facing serious strain. Once considered one of the strongest alliances in the world, the Canada-U.S. partnership has been tested by Trump’s trade war, rising tariffs, and even his controversial comments about making Canada the 51st state.

This marks Carney’s second official visit to Washington, ahead of the upcoming review of the U.S.-Mexico-Canada Agreement (USMCA) in 2026. With more than 77% of Canada’s exports heading to the U.S., the free trade deal remains crucial for Canada’s economy. However, growing tensions over tariffs and trade policies have left many Canadians feeling betrayed.

Former Canadian ambassador Frank McKenna described the current situation as the “lowest point” in bilateral relations in recent memory. He added that both citizens and businesses are responding with frustration, changing travel plans and redirecting corporate activities away from the U.S.

Carney is expected to push for relief on certain tariffs, particularly those affecting steel and aluminum. Currently, U.S. Section 232 tariffs impose up to 50% on these imports, which has had a heavy impact on Canadian industries. Some experts suggest a possible reduction to 25% or an agreement on tariff-free quotas may be on the table.

Despite the trade disputes, the Canada-U.S. relationship remains deeply interconnected. Around $2.5 billion worth of goods and services cross the border daily, and Canada is the top export market for 36 U.S. states. The two countries also share strong ties in energy, with Canada supplying 60% of U.S. crude oil imports and 85% of its electricity imports. Additionally, Canada remains a vital source of steel, aluminum, uranium, and other critical minerals essential for U.S. national security.

Trump has hinted that Carney’s main agenda will be addressing tariffs, noting that many Canadian companies are relocating operations to the United States. Carney, however, has emphasized that the USMCA remains beneficial, with more than 85% of Canada-U.S. trade still tariff-free.

While expectations from this meeting remain modest, securing even partial relief in trade disputes could mark an important step in improving strained ties. Analysts say the ultimate goal is to ensure long-term stability in the trade relationship and prevent any future threats to the USMCA, which is central to economic cooperation across North America.

Oct. 7, 2025 5:35 p.m. 648

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