US is ‘no longer a reliable partner’ on trade, says Canadian PM

Canadian Prime Minister Mark Carney pledged on Thursday to defend his country’s workers, businesses, and economy in response to new tariffs imposed by U.S. President Donald Trump.

The Canadian leader stated that Canada would accelerate efforts to strengthen trade relationships with other nations, emphasizing that the United States was “no longer a reliable partner.”

Carney’s remarks followed Trump’s announcement of a 25 percent tariff on cars and auto parts imported into the U.S., a move that has unsettled the global automotive industry. The decision has raised concerns about disruptions to international supply chains and heightened fears of a broader trade conflict.

Stock markets across Asia, Europe, and North America saw declines as investors reacted to the tariff news. Auto industry executives, who have spent decades developing cross-border production networks under free trade agreements, now face potential setbacks. In response, Carney confirmed that Canada would unveil retaliatory tariffs against the U.S. next week.

“Nothing is off the table as we defend our workers and our country,” Carney said during a press conference, where he struck a tone that was both measured and resolute.

The tariffs, set to take effect on April 3, will apply to a range of vehicles and critical components, including engines, transmissions, and electrical systems. The measures will impact both foreign automakers and American car brands that manufacture vehicles outside U.S. borders, including in Canada and Mexico.

Trump escalated tensions further in a social media post early Thursday, warning that if Canada and the European Union coordinated economic responses, his administration would impose additional, more severe tariffs.

“If the European Union works with Canada in order to do economic harm to the USA, large scale Tariffs, far larger than currently planned, will be placed on them both in order to protect the best friend that each of those two countries has ever had!” Trump wrote.

The U.S. auto sector relies heavily on imports, with nearly half of all vehicles sold in the country coming from abroad, and about 60 percent of the parts used in American-assembled cars sourced internationally. Countries including Canada, Mexico, Germany, Japan, and South Korea, already affected by previous U.S. tariffs on steel and aluminum, now face additional economic pressure.