Canada Signals End of Deep Ties with US as Trump Imposes Steep Auto Tariffs

Washington/Ottawa, March 27, 2025 – Hours after US President Donald Trump unveiled plans for steep tariffs on Canadian auto imports, Prime Minister Mark Carney declared on Thursday that the longstanding era of robust economic, security, and military ties between the two nations “is over.”

The statement followed Trump’s announcement of a 25 percent levy on vehicle imports from Canada, set to take effect next week, a move poised to deliver a severe blow to Canada’s auto sector, which sustains an estimated 500,000 jobs. In response, Carney halted his campaign for the upcoming April 28 Canadian election, returning to Ottawa to convene with cabinet members tasked with devising strategies to counter the escalating trade conflict with the United States.

Branding Trump’s tariffs “unjustified,” Carney asserted that they contravene existing trade agreements between the two countries. He cautioned Canadians that the US president’s actions have irrevocably altered bilateral relations, stating, “no turning back” is possible, irrespective of future trade arrangements. “The old relationship we had with the United States based on deepening integration of our economies and tight security and military cooperation is over,” Carney emphasized.

Pledging a resolute stance, he outlined Canada’s approach: “Our response to these latest tariffs is to fight, is to protect, is to build.” Carney confirmed that Canada would retaliate, adding, “We will fight the US tariffs with retaliatory trade actions of our own that will have maximum impact in the United States and minimum impacts here in Canada.”

Carney, who succeeded Justin Trudeau as Canada’s Prime Minister on March 14, has yet to hold the customary post-inauguration call with the US president—a tradition Trump has not observed with his new counterpart. On Thursday, Carney revealed that the White House had initiated contact to arrange a conversation, which he anticipates will occur “in the next day or two,” according to AFP.

While expressing openness to dialogue with Trump, Carney stipulated that substantive trade negotiations hinge on Washington demonstrating “respect” toward Canada, particularly by ceasing the president’s repeated threats of annexation. “For me, there are two conditions, not necessarily for a call, but a negotiation with the United States. First Respect, respect for our sovereignty as a country… apparently it’s a lot for him,” Carney remarked. He further underscored the need for a holistic dialogue, stating, “There has to be comprehensive discussion between the two of us, including with respect to our economy and our security.”

The developments mark a pivotal moment in Canada-US relations, with Carney’s administration bracing for a prolonged trade standoff as it navigates domestic economic concerns and an approaching election.

(With agency inputs)