How Mark Carney says he will respond to Donald Trump’s tariffs

In a speech after winning the Liberal leadership contest, Mark Carney called the U.S. a 'country we can no longer trust' as he outlined his plans for tackling U.S. tariffs.

Canada will soon have a new prime minister in Mark Carney as the country grapples with a trade war launched by U.S. President Donald Trump.

Carney, a former Bank of Canada and Bank of England governor, was selected to replace outgoing Prime Minister Justin Trudeau as the leader of the Liberal Party on Sunday night. He is expected to be sworn in over the coming days.

The economist and banker will have his work cut out for him, though, as he takes over the helm at a time of trade uncertainty with Canada’s closest ally.

The U.S. has already imposed a sweeping 25 per cent tariff on Canadian goods that went into effect last week, as did Canada’s counter-tariffs on American goods worth $30 billion. Trump paused the tariffs on some, but not all, goods for one month on Thursday.

And Canada is bracing for more tariffs: Trump has threatened some on Canadian dairy and lumber as well as all steel and aluminum imports, plus so-called reciprocal tariffs on all of America’s trading partners, including Canada.

In his first speech after winning the Liberal leadership contest Sunday night, Carney called the U.S. a “country we can no longer trust” and had a warning for Trump.

“We didn’t ask for this fight, but Canadians are always ready when someone else drops the gloves,” he said.

“So, the Americans, they should make no mistake, in trade, as in hockey, Canada will win.”