Carney says ‘nostalgia is not a strategy’ when it comes to the Canada-Trump trade war

Canada aims to emerge from its trade conflict with the United States as a stronger and more self-reliant economy, Canadian Prime Minister Mark Carney announced Tuesday, indicating Ottawa is prepared to hold out for favorable terms rather than rush into a trade pact with Washington."And to our American friends, let me say this. We will always be neighbors," Carney told an audience of global investors at the Canada Investment Summit in Toronto, emphasizing that sustainable relations require "true partners that respect each other’s traditions and sovereignty.""When those opportunities return, Canada will be an even better partner — stronger, more resilient, more independent," he stated.Carney unveiled plans for Ottawa to attract private capital through long-term operating concessions for the country's four largest airports. Public ownership of the land and underlying assets will be maintained, with the potential to raise tens of billions of dollars for infrastructure projects.Without directly naming U.S. President Donald Trump, the prime minister criticized the zero-sum, transactional mindset that has increasingly defined recent American trade strategy."Our reputation, as a reliable, predictable partner, has rarely been more valuable in a world where transactions are replacing relationships, and zero-sum is favored over win-win," Carney stated.Noting that economic integration increasingly clashes with national sovereignty, Carney argued that independent nations must deepen cooperation with aligned partners. He is set to travel to Europe later Tuesday to address the European Parliament.Relations have been further tested by Trump’s frequent use of tariffs, efforts to nudge manufacturing investments across the southern border, and persistent public comments proposing that Canada become the 51st American state.Nevertheless, Carney observed that roughly 80% of bilateral trade remains free of tariffs.(Reuters)"There is a mutually beneficial arrangement that can be had," Carney remarked during a fireside chat following his address. "When it is the right time to strike that deal, we’ll be ready to do that."Formal trade negotiations collapsed last month before Washington placed 50% tariffs on roughly $20 billion worth of Canadian imports, triggering countermeasures from Ottawa and further American trade restrictions.Stating that Canada must look forward, Carney emphasized, "We know that nostalgia is not a strategy."He also offered a lighthearted assessment of the current friction, contrasting a ceremonial key given to him by his hometown of Fort Smith, Northwest Territories, with a set of gold White House keys presented by Trump.According to Carney, Trump claimed that presenting the key meant "They’ll let you in," before adding, "Maybe they’ll shoot you.""And that sort of sums up the relationship," Carney said. "In Canada, you get the key. In the U.S., they might shoot you."