Carney On Trump: ‘we’ll Speak When It Makes Sense’

OTTAWA — Prime Minister Mark Carney warned Tuesday that Canadian investment in the United States — already among the highest in the world — could decline if trade relations deteriorate and a new economic and security pact is not secured.

“Canada is the second-largest investor in the United States today in the world. We have 40 million people,” Carney said while speaking to reporters in British Columbia.

“That puts in context the state of the relationship,” he said. “Without an agreement, there will be less by definition.”

His comments come just days after President Donald Trump raised tariffs on Canadian exports from 25 to 35 percent, escalating trade tensions.

Carney sounded in no hurry to get Trump on the line — or back to the negotiating table.

“We'll speak when it makes sense,” Carney said.

Carney told reporters that Trump reaffirmed his commitment to the United States-Mexico-Canada Agreement last week. He noted the USMCA gives Canada tariff-free access to 85 percent of Canadian exports to the U.S.

The prime minister signaled he’s in no rush to start the review of USMCA, set for next year, saying it would begin “about nine months from now.”

Canada-U.S. Trade Minister Dominic LeBlanc told POLITICO last week that he spoke with his Mexican counterpart about kickstarting renewal talks “as early as this fall.”

Carney was in British Columbia to announce C$1.2 billion in support for Canada’s softwood lumber industry, and to help it pivot to doing more business within the country in the face of rising duties imposed by the United States.

Foreign Affairs Minister Anita Anand and Finance Minister François-Philippe Champagne are in Mexico for a series of meetings that are to include Mexican President Claudia Sheinbaum.

Anand and Champagne are laying the groundwork for a future meeting in Mexico between Carney and the Mexican leader.