Canada’s prime minister: close economic ties to the U.S. are now a weakness that must be fixed

Prime Minister Mark Carney said in a video address that Canada’s long-standing economic reliance on the United States — once an asset — has become a liability that “must be corrected.” Short and blunt: the world has shifted, trade rules have changed, and Ottawa needs a plan beyond hoping the U.S. will revert to past norms. Can a country that’s long lived in America’s shadow pivot fast enough? Time will tell.

The message and the mood

Carney cited higher U.S. tariffs and uncertainty that has restrained investment, singling out auto and steel workers who’ve already felt the impact. He warned the “world is more dangerous and divided,” and promised regular updates on efforts to diversify trade and attract new investment. It has been reported that many Canadians were angered by President Trump’s remarks suggesting Canada become the “51st state,” and Carney used that wider political unease to justify a strategic shift. The emotional core was plain: “I promise you I will never sugarcoat our challenges.”

The plan — and the politics

Concrete steps Carney outlined include courting new investors, signing trade deals beyond Washington, doubling clean-energy capacity, easing internal trade barriers, boosting defense spending, cutting taxes and tackling housing affordability. A NAFTA review looms in July, and Conservatives are pressing for a U.S. trade deal even as Carney — a former Bank of Canada and Bank of England governor — insists reliance on one partner is no strategy. “Hope isn’t a plan and nostalgia is not a strategy,” he said. Bold words; now Ottawa needs follow-through.

Sources: abcnews.com, Hacker News