Canadian PM Carney Seeks Trade Partners Beyond US Amid Trump Tariff Threats

Canadian Prime Minister Mark Carney is embarking on a diplomatic tour to India, Australia and Japan this week as part of his strategy to reduce Canada's trade dependence on the United States. The move comes as President Trump threatens massive tariffs on Canadian goods and makes provocative comments about Canada becoming America's 51st state.

Canadian Prime Minister Mark Carney announced Monday he will embark on a multi-nation diplomatic mission to India, Australia and Japan over the next two weeks as part of his strategy to reduce his country’s economic reliance on the United States.

The prime minister’s first stop will be Mumbai on Thursday, where he is scheduled to hold discussions with Indian Prime Minister Narendra Modi and meet with business executives.

Carney’s itinerary includes a historic address to Australia’s Parliament in Canberra, marking the first time a Canadian leader has spoken to both legislative chambers in two decades. He will also hold talks with Australian Prime Minister Anthony Albanese focusing on defense cooperation and artificial intelligence developments.

The diplomatic tour concludes in Tokyo, where Carney plans to meet with Japanese Prime Minister Takaichi Sanae to explore partnerships in renewable energy, essential minerals and food security initiatives.

“In a more uncertain world, Canada is focused on what we can control. We are diversifying our trade and attracting massive new investment,” Carney said in a statement.

The Canadian leader has established an ambitious objective to double his nation’s exports to countries other than the United States within ten years, citing concerns that American trade barriers are deterring investment.

President Donald Trump has repeatedly targeted Canada’s economy and independence through tariff threats, including controversial suggestions that Canada should become “the 51st state.”

Trump has recently warned of imposing 100% tariffs on Canadian imports in response to Canada’s potential trade agreement with China, escalating tensions with the longtime North American ally and Carney personally.

During last month’s World Economic Forum in Davos, Carney criticized economic bullying tactics used by major powers against smaller nations. His remarks garnered significant international praise and media attention, overshadowing Trump’s presence at the event.

Canada and India have worked to rebuild their trade relationship over the past year following a two-year period of diplomatic tensions. India currently ranks as Canada’s seventh-largest trading partner as of 2024.

The relationship between the two nations deteriorated after Canadian law enforcement officials alleged that New Delhi was involved in the June 2023 killing of a Canadian Sikh activist near Vancouver.

Canada is not alone in making such accusations against Indian officials regarding foreign assassination plots.

U.S. federal prosecutors revealed in 2023 that an Indian government representative orchestrated an unsuccessful attempt to kill another Sikh separatist leader in New York. Earlier this month, an Indian national pleaded guilty to conspiring to hire an assassin to carry out the planned killing of the Sikh separatist leader.