- Trump warns PM Carney deal could put their economy at risk.
- Carney encourages citizens to buy domestic products.
- The tensions arise after Carney slammed Trump’s Greenland plans.
WASHINGTON: US President Donald Trump said on Saturday he would impose 100% tariffs on Canada if it goes ahead with a trade deal with China, warning Canadian Prime Minister Mark Carney that such a deal would put his country at risk.
“China will eat Canada alive, completely devour it, including the destruction of their businesses, social fabric and general way of life,” Trump wrote on Truth Social.
“If Canada makes a deal with China, it will immediately be hit with a 100% tariff on all Canadian goods and products coming into the United States.”
In a video Saturday, Carney urged Canadians to buy domestic products, but did not directly mention Trump’s tariff threat.
“With our economy threatened from abroad, Canadians have made a choice to focus on what we can control,” Carney said. “We cannot control what other nations do, we can be our own best customer.”
The Canadian prime minister traveled to China this month to reset the countries’ strained relationship, reaching a trade deal with Canada’s second-largest trading partner after the United States.
Immediately after Carney’s China trip, Trump sounded supportive. “It’s a good thing for him to sign a trade deal,” Trump told reporters at the White House on January 16. “If you can get a deal with China, you should.”
“There is no pursuit of a free trade agreement with China. What was achieved was a resolution of several important tariff issues,” Dominic LeBlanc, the minister responsible for trade between Canada and the United States, said Saturday in a post on X.
The Chinese Embassy in Canada said in a statement to Reuters that China was ready to work with Canada to implement the important consensus reached by the leaders of the two countries.
Tensions between the US and Canada have grown in recent days following Carney’s criticism of Trump’s pursuit of Greenland.
More pressure on Canadian industries
On Saturday, Trump suggested that China would try to use Canada to circumvent US tariffs.
“If Governor Carney thinks he’s going to make Canada a ‘handover port’ for China to ship goods and products into the United States, he’s seriously mistaken,” Trump said, using a title for Carney that refers to Trump’s previous calls for Canada to become the 51st U.S. state.
In another post Saturday, Trump said: “The last thing the world needs is to have China take over Canada. It is NOT going to happen, or even come close to happening!”
If Trump carries out Saturday’s threat, the new tariffs would sharply increase U.S. tariffs on its northern neighbor, increasing pressure on Canadian industrial sectors such as metal manufacturing, autos and machinery.
The relationship between Carney and Trump seemed relatively calm until this week the Canadian leader spoke strongly against Trump’s pursuit of Greenland.
Carney subsequently called on nations at the World Economic Forum to accept that a rules-based global order was over, pointing to Canada as an example of how “middle powers” could act together to avoid falling victim to US hegemony.
Carney did not directly call out Trump or the United States by name during his speech in Davos, Switzerland. But the prime minister said: “The middle powers need to act together because if you’re not at the table, you’re on the menu.”
Many world leaders and industry titans present at the confab in Switzerland responded with a standing ovation.
Trump fired back in his own Davos speech, saying Canada is “living because of the United States,” a statement Carney rejected Thursday.
“Canada and the United States have built a remarkable partnership in the economy, in security and in rich cultural exchange,” Carney said in Quebec. “Canada does not live because of the United States. Canada thrives because we are Canadian.”
Since then, Trump has taken digs at Canada, rescinding its invitation to his peace council that he wants to deal with international conflicts and the future of Gaza.
After Carney’s election last year, Trump and Carney shared a cozy tone. “I think the relationship is going to be very strong,” Trump said at the time.
But Trump this month dismissed the mega trade deal between the US, Canada and Mexico – up for renegotiation in July – as “irrelevant.”
Trump has issued many tariff threats since returning to the presidency, though in several cases he has paused them during negotiations or backed down altogether. This week, Trump backed off his latest threat to impose stiff tariffs on European allies after the NATO chief and other leaders pledged to boost security in the Arctic.
“We hope the two governments can quickly come to a better understanding that can alleviate further concerns for businesses facing the immediate consequences of increased uncertainty,” Matthew Holmes, Canadian Chamber of Commerce, said in a statement.
