Carney says almost nothing is normal in the US, trade pact review starting soon

Canadian PM Mark Carney defends his Davos remarks as he urges Canada to diversify trade while tensions rise after Trump threatens steep tariffs. - REUTERS/Filepic
OTTAWA: In a sign of continuing U.S.-Canada tensions, Prime Minister Mark Carney on Tuesday denied he had retracted comments that irritated President Donald Trump, and said almost nothing was normal in the United States.
AI Brief
- Carney urged nations to accept a shift away from a US-led rulesbased order and pushed Canada to diversify trade beyond the United States.
- Trump reacted strongly to Carneys comments, warning of 100% tariffs if Canada pursued a trade deal with China.
- Despite US pressure, Carney reaffirmed his Davos stance and said Canada is preparing for the upcoming USMCA review.
Carney - citing U.S. tariffs on key Canadian imports - is pushing to diversify trade away from the United States, which takes around 70% of all Canadian exports under terms of the U.S.-Mexico-Canada free trade deal.
"The world has changed, Washington has changed. There is almost nothing normal now in the United States - that is the truth," Carney told the House of Commons elected chamber when asked about the future of trade talks with Washington.
Trump reacted unhappily to Carney's Davos speech, saying Canada only existed because of the United States, and later said he would impose a 100% tariff on imports from Canada if Ottawa concluded a trade deal with China.
After Trump and Carney spoke on Monday, U.S. Treasury Secretary Scott Bessent said the Canadian leader "was very aggressively walking back" some of the remarks.
"To be absolutely clear, and I said this to the president - I meant what I said in Davos," Carney told reporters.
Carney said he told Trump that Canada was responding to the tariffs by "building partnerships abroad ... (and) building at home, and we're prepared to respond positively by building that new relationship through the USMCA. He understood that."
Carney told the House that a formal review of the USMCA pact scheduled for this year would start in a few weeks. He did not give more details.
Earlier this month, Trump said the United States did not need the USMCA, calling it irrelevant.
Must-Watch Video
Stay updated with our news


