President Trump’s tariff pause for some nations, but not Canada, has the Canadian Prime Minister rushing to negotiate a trade deal

Canadian Prime Minister Mark Carney pledged Wednesday to negotiate a “new economic and security relationship” with the US — an announcement that comes on the same day President Trump paused tariffs for dozens of nations, but not Canada.

“The pause on reciprocal tariffs announced by President Trump is a welcome reprieve for the global economy,” Carney wrote on X, referring to the commander-in-chief’s 90-day pause on sweeping trade fees.

“As President Trump and I have agreed, the US President and the Canadian Prime Minister will commence negotiations on a new economic and security relationship immediately following the Federal election,” the unelected Canadian Prime Minister said. 

Carney’s conciliatory statement stands in strark contrast to a more defiant message he had for Trump last month, after the president slapped a 25% tariff on Canadian goods not covered by the US-Mexico-Canada (USMCA) trade pact. 

This reflects the reality of the power disparity between the United States and Canada. Canadian leaders need to show some defiance in the face of tariff and in-jest annexation threats, but when it comes time to live in the real world, Canada does not have many cards to play. A trade war would be uncomfortable for the United States; it would be devastating for Canada.

Canada isn’t alone in the imbalance of power and influence they have vis a vis the United States. The United States is the world’s most powerful nation, and thus every nation has an imbalance with them. In fact, 70 nations have already expressed their desire to negotiate with President Trump to avoid tariffs on their countries.

Mr Carney understands that if he doesn’t get on the negotiation train, Canada could be left behind. There is no guarantee that a deal will result from this, but it is a step in the right direction.