Canada PM Mark Carney Declares End of ‘Old Relationship’ With US Amid Auto Tariff Dispute

Following Trump’s steep auto tariff announcement, Canadian PM Mark Carney says deep economic and security ties with the US are over, vows strong retaliatory actions.

March 28, 2025: Ottawa, Canada:
Canadian Prime Minister Mark Carney has made a strong declaration regarding the future of Canada-US ties, saying that the “old relationship” based on economic integration and military cooperation is now over. This comes in the wake of US President Donald Trump’s announcement of a 25% tariff on imported vehicles, set to take effect next week.

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The new tariffs are expected to severely impact Canada’s automobile industry, which sustains nearly 500,000 jobs nationwide.

In an urgent response, Carney paused his election campaign—with Canada heading to the polls on April 28—and returned to Ottawa to convene an emergency cabinet meeting. The group is focused on formulating a strategy to deal with what Carney described as an escalating trade war.

Also Read: Canada PM Mark Carney Calls Snap Election, Amid US Trade Tensions and Trump’s Annexation Rhetoric: Voting on April 28

“These auto tariffs are unjustified and in direct violation of our existing trade agreements,” Carney said. “Regardless of any future deals, there is no going back to how things were.”

Carney, who replaced Justin Trudeau as prime minister earlier this month, also confirmed that Canada would retaliate with trade measures aimed at maximizing economic pressure on the US while minimizing harm to Canadian businesses.

Also Read: Trump Calls Canada ‘One Of The Nastiest Countries’ Amid Escalating Trade War

“Our response is simple: Fight, protect, and build. We will respond with retaliatory trade actions that are smart, strategic, and impactful,” he asserted.

Interestingly, Carney and Trump have not yet spoken since Carney took office—a departure from usual diplomatic protocol. Carney noted that the White House has now reached out, and a call is expected soon.

However, the Canadian leader was blunt about the terms of any future negotiations.

“I’m willing to talk, but I won’t negotiate until there’s respect—respect for Canada’s sovereignty and our role as a strong, independent nation,” Carney said. “Apparently, that’s a lot to ask.”

Carney also alluded to Trump’s repeated annexation threats, saying that unless those end, no “substantive” discussions would be possible.

The dramatic turn in North American relations underscores a new chapter in foreign policy, with Canada signaling it is ready to assert itself economically and diplomatically on the global stage—even at the cost of historical alliances.


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Mark Carney, Canada US relations, Trump auto tariffs, US Canada trade war, car import tariffs, Canada retaliates US, Mark Carney Trump, North American trade, US annexation threats, global diplomacy, international trade news, Canadian auto industry, breaking news Canada

Mahendra Mohan

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