Canada’s Prime Minister Mark Carney has walked away from a last-minute U.S. trade deal with President Trump, sparking a new chapter in the North American economic standoff. After years of smooth relations, tensions have flared as both sides blame each other for broken negotiations — Carney calling U.S. terms “unfair,” while Washington accuses Canada of shifting demands. The move risks short-term pain for Canadian businesses and consumers, but Carney’s “elbows up” strategy aims to secure a better long-term deal against America’s “America First” stance. Public support is strong — polls show Canadians back retaliation, and provinces are already acting by pulling U.S. wine and spirits off shelves. With the U.S. industry hitting back and Trump’s next move uncertain, this could be the defining trade moment of Carney’s leadership — and a test of whether Ottawa can stand firm without sacrificing its economy.
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