This week, Canadian Prime Minister Mark Carney stated that he will hold firm on his plans to reduce economic reliance on the United States and Donald Trump by pursuing a dozen new trade deals with other countries.

Historically, Canada and the United States have worked closely together, developing trade agreements such as N.A.F.T.A. and the U.S.M.C.A., resulting in one of the world’s closest economic and political alliances. While this relationship has been built on trust, recent shifts in U.S. trade policy under President Trump have increased tension. These tensions over Canada’s desire to expand trade deals and relations with other countries have negatively affected the relationship between the United States and Canada, with President Trump even implying he wants to push Canada toward absorption into the United States.

To further build upon this, Mark Carney stated that “Canada was the first country to understand the change in U.S. trade policy and we are responding to that.” It is clear that Carney will stand firm in his argument that the great powers have frequently exerted economic dominance over smaller countries. Canada’s Prime Minister further stated in the French Parliament that “the world has changed, Washington has changed.” Furthermore, Trump threatened to impose a 100% tariff on goods imported from Canada if America’s northern neighbor went ahead with a trade deal with Beijing. When President Trump and Carney spoke on the phone this past weekend, Carney stated that “I explained to him our arrangement with China. I explained to him that we’re doing 12 new deals, four continents, in six months.” Carney urged that “Middle powers must act together because if you are not at the table, you are on the menu.”

Carney’s stance clearly recognizes the imbalances between the United States and other countries. Smaller and medium-sized countries are often at a disadvantage in global trade systems, while larger, more powerful countries control both trade deals and economic policies. Carney’s approach to trade policy seeks to expand economic relations outside of the United States while protecting Canadian sovereignty and opening new trade deal opportunities. Success will depend on Canada’s ability to maintain consistency, foster collaboration, and develop relationships with other countries while emphasizing peace. 

While the relationship between Canada and the United States remains significant in global economics, it is clear that there has been a major shift in the power dynamics of the international system. As global trade and economics continue to evolve, time will only tell what the relationship between the United States and Canada will look like and how this will affect diplomacy and peace in the West.