For at least the third time in a year, Canada looks to bend its knee to the US on trade

Mark Carney (From ‘X’ Twitter page)

COGwriter

Canada’s Prime Minister announced a change in its trade deal with China after more tariff threats from Donald Trump:

Carney Cracks: Canada Has ‘No Intention’ Of Pursuing Free Trade Deal With China After Trump Threatens 100% Tariffs

January 26, 2027

Canadian Prime Minister Mark Carney says Canada has “no intention” of pursuing a free trade deal with China, after Donald Trump threatened to slap a 100% tariff on Canadian exports if Ottawa “makes a deal” with Beijing.

To review: right before Davos, Canadian Prime Minister Mark Carney returned from a trip to Beijing and announced a new 5-point ‘strategic partnership’ to ‘diversify our trade partnerships.’ The agreements included slashing tariffs on Chinese EV imports from 100 percent to 6.1 percent for the first 49,000 units, in exchange for China cutting tariffs on Canadian canola from 85 percent to 15 percent until at least the end of the year. Other exports, including Canadian canola meal, lobsters, crabs, and peas will also not be subject to Chinese anti-discrimination tariffs until at least the end of 2026.

A week later, Carney told the global elite at Davos resort that the “rules-based order” established by the United States and its allies following WW2 was fraying amid the current rivalry between China and America, so the “middle powers must act together because if we’re not on the table, we’re on the menu.” 

Carney said that for their survival, nations should no longer “go along to get along” with Trump.

This flew up Donald Trump … sideways, who issued a response on Truth Social Saturday:

“If Governor Carney thinks he is going to make Canada a ‘Drop Off Port’ for China to send goods and products into the United States, he is sorely mistaken. China will eat Canada alive, completely devour it, including the destruction of their businesses, social fabric, and general way of life,” Trump said in a post on Truth Social on the morning of Jan. 24.

“If Canada makes a deal with China, it will immediately be hit with a 100% Tariff against all Canadian goods and products coming into the U.S.A. Thank you for your attention to this matter!”

Trump’s reference to Canadian Prime Minister Mark Carney as “Governor” marks a return to the relations the U.S. president had with Carney’s predecessor, former Prime Minister Justin Trudeau, using the title to reflect his view that Canada should be part of the United States.

Meanwhile, on the sidelines of the WEF, Trump said that “Canada gets a lot of freebies from us. By the way, they should be grateful also, but they’re not,” adding, “Canada lives because of the United States. Remember that, Mark, the next time you make your statements.” https://www.zerohedge.com/geopolitical/canada-has-no-intention-pursuing-free-trade-deal-china-after-trump-threatens-100

Canada is in a tough spot, once again, so it had to ‘bend the knee’ again.

Notice also the following capitulation from last Summer:

‘Another capitulation’: Canada caves to Trump, dropping retaliatory tariffs

Despite campaigning on standing firm, Liberal Prime Minister Mark Carney continues to fold.

August 22, 2025

Months after scrapping its digital service tax in the face of threats from President Donald Trump, Canada’s liberal government has caved once again.

This time, Canadian Prime Minister Mark Carney — who put on quite the show about defying the U.S. while campaigning for office earlier this year — announced on Friday that Canada is dropping retaliatory tariffs on a number of American products in hopes of improving both relations with the White House and outcomes in future trade talks with the United States.

Canada was one of the only countries in the world that retaliated against Trump’s tariffs, imposing three rounds of retaliatory measures, … https://www.theblaze.com/news/another-capitulation-canada-caves-to-trump-dropping-retaliatory-tariffs

Here is something I posted here last February:

I suspect that Donald Trump has figured that the pain to the economies of Mexico and Canada will make them bend to his demands as their economies are more dependent on exports to the USA than the USA’s is for exports to them.  (Thiel B. Nord Stream 2 for Europe? Canada and Mexico retaliate against tariffs. COGwriter, February 2, 2025)

Here is something I posted here in March of 2025:

Canada is in a precarious position these days and Donald Trump seems willing to try to cause Canada a lot of economic pain to get it to accede to his demands. Canada’s economy is highly dependent upon the USA’s economy, not the other way around.  Some American’s see Donald Trump’s actions as overdue, whereas others see bullying and other unsavory tactics being used. (Thiel B. Canada’s new PM & hurting feelings of foreigners via Donald Trump’s presidency. COGwriter, March 10, 2025)

Yes, Donald Trump has used the threat of pain as part of his bullying tactics.

Why?

Because he thinks he can.

And while he can, to a degree, do not think that there is no cost to that.

Donald Trump has bullied Canada and many others.

This is getting many nations looking to trade more with Europe and and others. More and more are trying to figure out how to thrive with less trade with the USA.

This is another unintended consequence of Donald Trump’s statements and policies.