Post by : Mina Saadi
On Friday, US President Donald Trump sharply criticized Canada over its dismissal of the proposed “Golden Dome” missile defense initiative linked to Greenland. He asserted that the system would offer protection to Canada while accusing the nation of leaning towards China over US-backed security measures.
In a post on Truth Social, Trump remarked that Canada had overlooked the potential safeguards the Golden Dome could offer. He expressed concerns that Canada’s expanding trade ties with China posed significant risks, suggesting that they could be under Chinese influence within a year.
These remarks emerged amidst escalating tensions between the US and Canada, exacerbated by Prime Minister Mark Carney's recent statements at the World Economic Forum (WEF) in Davos.
During the 56th Annual WEF Summit, Carney spoke about the rise in global rivalry and raised alarms over economic coercive tactics, indicating that the conventional rules-based global order was deteriorating. His commentary was interpreted as a veiled critique of the US, particularly regarding matters relating to Greenland.
Trump reacted strongly to Carney's comments, suggesting Canada ought to express more gratitude towards the US. He stated that Canada benefits considerably from American support, particularly in security, and insisted they recognize this protection.
Further emphasizing Canada's reliance, Trump remarked that the country thrives due to American backing and directly called on Carney to acknowledge America’s strategic significance when voicing public opinions.
In parallel, Canada has recently established a new trade deal with China, expected to unlock over $7 billion in export opportunities for Canadian businesses. This move aims to diversify trade ties while bolstering the economy amid global instability.
Reports indicate that Canada has consented to lower its tariff on Chinese electric vehicles, previously set at 100 percent. In reciprocal arrangements, China is likely to reduce tariffs on key Canadian agricultural products like canola seeds.
The agreement outlines a cap of 49,000 Chinese EVs entering Canada each year, with plans to gradually increase this limit to approximately 70,000 over five years. Conversely, China is slated to lower its canola seed tariff from 84 percent to around 15 percent.
Carney noted Canada’s recent dealings with China have yielded clearer results, portraying China as a more reliable partner than the US, especially as Canada confronts intense trade pressure from Washington.
Canada is currently grappling with substantial US tariffs, including a 35 percent levy on goods and an extensive 50 percent on metals and 25 percent on non-US automobiles.
Moreover, the persistent tensions between the US and China continue, with threats of steep tariffs on both sides. However, following discussions between Trump and Chinese President Xi Jinping, some planned tariffs were paused for certain products until November 10, 2026.
This latest exchange of words from Trump further exacerbates the strains in US-Canada relations, especially as Canada seeks to enhance trade relationships without relying solely on the US and aims for increased economic agility in a shifting global landscape.
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