POLITICS

Canada to name a new leader while dealing with Trump trade war

Mar 7, 2025, 11:38 AM

Liberal Party of Canada leadership candidate Mark Carney addresses supporters in Calgary, Alberta, ...

Liberal Party of Canada leadership candidate Mark Carney addresses supporters in Calgary, Alberta, Tuesday, March 4, 2025. (Jeff McIntosh/The Canadian Press via AP)
Credit: ASSOCIATED PRESS

(Jeff McIntosh/The Canadian Press via AP)

TORONTO (AP) — Canada looks set to pick a measured former central banker to deal with the threats President Donald Trump’s tariffs pose against a pillar of Western free trade.

Mark Carney, 59, could become the next prime minister when the governing Liberal Party of Canada announces a replacement for Justin Trudeau in a leadership vote Sunday.

The opposition Conservatives hoped to make the election about Trudeau, whose popularity declined as food and housing prices rose and immigration surged. Trudeau announced his resignation in January but remains prime minister until a successor is chosen. Election laws mandate a vote before October but one is expected sooner.

Trump’s trade war and his talk of making Canada the 51st state have infuriated Canadians, who are booing the American anthem at NHL and NBA games. Some are cancelling trips south and many are avoiding buying American goods when they can.

The surge in Canadian nationalism has bolstered the Liberal Party’s chances in Parliamentary elections that are expected within days or weeks, and Liberal showings have been improving steadily in opinion polls.

After decades of bilateral stability, the vote on Canada’s next leader now is expected to focus on who is best equipped to deal with the United States.

Who is Mark Carney?

Carney navigated crises when he was the head of Canada’s central bank and when he became the first non-citizen to run the Bank of England since it was founded in 1694.

His appointment won bipartisan praise in Britain after Canada recovered from the 2008 financial crisis faster than many other countries.

Carney is credited with keeping money flowing through the Canadian economy by acting quickly in cutting interest rates to their lowest level ever of 1%, working with bankers to sustain lending through the crisis and, critically, letting the public know rates would remain low so they would keep borrowing.

And it wasn’t just that he had good policies — he sold them to the public in a way everyone could understand. He was the first central banker to commit to keep them at a historic low for a definite time, a step the U.S. Federal Reserve would follow.

Carney has picked up one endorsement after another from Cabinet ministers and members of Parliament since declaring his candidacy in January.

The other top Liberal leadership candidate is former Deputy Prime Minister Chrystia Freeland. Trudeau told Freeland in December he no longer wanted her as finance minister, but that she could remain deputy prime minister and the point person for U.S.-Canada relations. Freeland resigned shortly after, releasing a scathing letter about the government that proved to be the last straw for Trudeau.

What’s next for Canada?

The Liberal Party members will pick a new leader in a secret vote by about 140,000 members that will be announced on Sunday. The new leader is expected to trigger an election shortly afterward. Either the new Liberal party leader will call one, or the opposition parties in Parliament could force one with a no-confidence vote this month.

Daniel Béland, a political science professor at McGill University in Montreal, said Carney’s calm demeanor and outstanding resume make him a reassuring figure to many Canadians at a time when Trump is going after their country’s economy and sovereignty.

Béland said that style and profile stands in strong contrast to the Conservative Party’s Pierre Poilievre, whom he called a true career politician who has embraced a populist rhetoric not unlike Trump’s.

Poilievre, 45, for years the party’s go-to attack dog, is a firebrand populist who says he will to put “Canada first.” He attacks the mainstream media and vows to defund Canada’s public broadcaster and cut taxes.

“That works with his base but that is not welcomed by other Canadians, especially considering what the U.S. president is now saying about, and doing to, their country,” Béland said.

Poilievre urged Trump on Friday stop the attacks on Canada and “the monthly melodrama that is hurting our economies on both side of the border.”

Politics

Food and Drug Administration (FDA) commissioner Marty Makary speaks during a news conference on the...

Associated Press

FDA panel debates COVID vaccine recipe as questions swirl about fall shots

WASHINGTON (AP) — Government advisers are meeting Thursday to decide if COVID-19 vaccines need updating to improve protection this fall and winter — even as a new Trump administration policy has thrown into question who may be eligible for a shot. The Food and Drug Administration’s outside experts have met regularly since the launch of […]

2 hours ago

FILE - This combo shows Iranian Foreign Minister Abbas Araghchi, left, pictured in Tehran, Iran, on...

Associated Press

Iran’s top diplomat says ‘special measures’ may be taken to defend nuclear sites from Israel

DUBAI, United Arab Emirates (AP) — Iran’s top diplomat warned Thursday that his country would take “special measures in defense of our nuclear facilities” if Israel continues to threaten Tehran’s atomic sites, raising the stakes further ahead of a new round of talks with the United States. The comments by Foreign Minister Abbas Araghchi offered […]

3 hours ago

FILE - This combo of pictures show President Donald Trump, left, addressing a joint session of Cong...

Associated Press

What to know about the tensions between Iran and the US before their fifth round of nuclear talks

DUBAI, United Arab Emirates (AP) — Iran and the United States will hold talks Friday in Rome, their fifth round of negotiations over Tehran’s rapidly advancing nuclear program. The talks follow previously negotiations in both Rome and in Muscat, Oman. President Donald Trump has imposed new sanctions on Iran as part of his “maximum pressure” […]

7 hours ago

Associated Press

Long, fraught timeline of tensions between Iran and the US as nuclear negotiators to meet again

Iran and the United States will hold a fifth round of talks in Rome on Friday over Tehran’s rapidly advancing nuclear program. The negotiations represent a milestone in the fraught relations between the two nations over Iran’s program, which is enriching uranium close to weapons-grade levels. Officials are now focused on the details that could […]

7 hours ago

FILE - Then Former President Donald Trump speaks at the Bitcoin 2024 Conference, July 27, 2024, in ...

Associated Press

The crypto industry saw Trump as a champion. Some now fear he’s putting personal profits first

WASHINGTON (AP) — It seems like a triumph for a cryptocurrency industry that has long sought mainstream acceptance: Top investors in one of President Donald Trump ’s crypto projects invited to dine with him at his luxury golf club in Northern Virginia on the heels of the Senate advancing key pro-crypto legislation and while bitcoin […]

10 hours ago

FILE -A label reading "Levis" on a pair of Levi Strauss & Co jeans is displayed at a production lin...

Associated Press

Kenyans worry a US duty-free trade deal might end and expose them to Trump’s tariffs

NAIROBI, Kenya (AP) — It’s crunch time for the maker of Levi’s and Wrangler jeans in Kenya’s capital, Nairobi. Hundreds of sewing machines whir in a crowded, air-conditioned factory. On another floor, workers pack clothes destined for the U.S. market. The fate of about 16,000 workers in the factory at the United Aryan export processing […]

10 hours ago

Canada to name a new leader while dealing with Trump trade war