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Rules of engagement with our American friends have changed, Michael Ignatieff says
Summary
Michael Ignatieff argues that Canada–U.S. relations have shifted after Prime Minister Carney's Davos speech and that Canada must choose whether to pursue trade diversification and a 'middle power' strategy to protect its economic sovereignty.
Content
Michael Ignatieff, a historian who teaches at the Central European University, writes that recent tensions after Prime Minister Carney's Davos speech have altered the rules of engagement between Canada and the United States. He notes the White House responded strongly to the speech and that U.S. tariff threats have been raised. Ignatieff places the current episode in a longer history of tense encounters between Canadian prime ministers and U.S. presidents. He argues the government is now proposing a 'middle power' approach of trade diversification and new economic partnerships, but says that strategy will take time to produce leverage.
Main points:
- The article is authored by Michael Ignatieff, who teaches at the Central European University.
- Prime Minister Carney's Davos speech drew strong criticism from the White House and raised the prospect of U.S. tariffs.
- About 75 per cent of Canadian exports go to U.S. markets, which limits immediate alternatives.
- Ignatieff describes Carney's response as a push for trade diversification and a 'middle power' strategy that requires time and results to gain leverage.
- The renegotiation of the Canada-U.S.-Mexico trade relationship (CUSMA) is expected later this summer.
Summary:
Ignatieff frames the situation as a turning point that forces Canada to choose a path for protecting economic sovereignty, noting that a middle-power strategy could be viable but will take time to produce results and leverage. Renegotiation of trade relations is scheduled for later this summer, and the outcome is undetermined at this time.
