\t\t\t\t\tRelated Articles<\/p>\n
\t \n\tBy \t \n\tBy Carney said he understands why the U.S. is keen to negotiate sector by sector, but Canada is only interested in a comprehensive deal to modernize the Canada-United States-Mexico Agreement on trade (CUSMA).<\/p>\n \u201cWe don\u2019t want a partial agreement. We want something that addresses those sectors as well, so that it\u2019s a viable approach going forward,\u201d he told reporters outside his office in Ottawa.\u00a0<\/p>\n Hitting back: That means not putting American booze back on Canadian shelves until a deal is reached, Carney said.<\/p>\n \u201cThe decision to change that, first and foremost, will be taken by provinces themselves,\u201d he said, \u201cand should only be taken as part of an overall agreement.\u201d<\/p>\n The U.S. trade representative\u2019s office has said the new raft of tariffs was partly retaliation for provinces that have halted sales of American alcohol. Carney said provinces only took U.S. products off their markets in response to U.S. tariffs and threats to Canada\u2019s sovereignty.\u00a0<\/p>\n Carney said he would meet virtually with the premiers Tuesday afternoon to discuss whether to retaliate further once the new tariffs come into effect. He is also expected to meet with them in person in Charlottetown later this week.\u00a0<\/p>\n \u201cWe will look at all options in terms of how we would respond,\u201d the prime minister said.<\/p>\n Provincial pushback: The premiers are meeting in Charlottetown on their own, before Carney joins them in person. Trade with the U.S. is very much on the agenda, said the host, Prince Edward Island Premier Rob Lantz.<\/p>\n \u201cThis topic was going to be a large part of the discussion regardless,\u201d he said before the day\u2019s session.<\/p>\n Most of the premiers who spoke to reporters set out to stiffen Carney\u2019s spine.<\/p>\n \u201cSupply management is non-negotiable,\u201d said Quebec Premier Christine Fr\u00e9chette. \u201cThat will stay, to the end.\u201d<\/p>\n Ontario\u2019s Doug Ford said it\u2019s time for Canada to go on offence against the Trump administration.<\/p>\n \u201cI\u2019m tired of the bully trying to take our lunch money,\u201d he said.<\/p>\n Ford said he\u2019d prefer a deal, for everyone\u2019s benefit. But if Trump\u2019s threatened tariffs kick in next month, he said, Canada should use every trade weapon it has.<\/p>\n \u201cWe are an energy powerhouse. We could dismantle the U.S., if we wanted to, if we all work together,\u201d he said. \u201cNo matter if it\u2019s the electricity\u2026 the potash, the oil\u2014we\u2019re their No. 1 customer in the world. They need to feel the pain rather than us constantly feeling the pain.\u201d<\/p>\n \u201cThere is not a chance in hell that U.S. alcohol is going back on the shelves in British Columbia,\u201d said B.C. Premier David Eby. Paradoxically, he said, he\u2019s prouder than ever to be Canadian\u2014united, standing strong and building new relationships internationally.<\/p>\n \u201cI feel sorry for Americans. If you can\u2019t be friends with Canada, then you almost certainly do not have a friend anywhere in the world,\u201d he said.<\/p>\n Eby, a New Democrat, said he\u2019s with Ford, a Progressive Conservative, on how to deal with Trump: \u201cThe one way to embolden a bully is to capitulate.\u201d<\/p>\n Economic impact: Unlike Trump\u2019s Liberation Day tariffs<\/a>, which the White House gradually walked back, this latest round appears more targeted, said Andrew Hencic, senior economist with TD Bank Group.\u00a0<\/p>\n \u201cThe new batch looks to affect the Canadian economy with minimal impact on U.S. industry and consumers,\u201d he said in a note<\/a>.<\/p>\n This latest blow will further dent Canadian businesses, which have been operating with uncertainty since Trump\u2019s re-election, but it\u2019s unlikely to cause the kind of shock the president\u2019s 2025 tariff threats inspired, Hencic said.\u00a0<\/p>\n Still, he anticipates that the tariffs would take 0.3 to 0.6 percentage points off Canada\u2019s GDP growth over the next year, if they go ahead.<\/p>\n Eby acknowledged that the levies \u201cwill hurt our economy in British Columbia,\u201d hitting people connected to the wood and alcohol industries especially hard. \u201cThere is no reason to believe this is the bottom,\u201d he said.<\/p>\n In a letter<\/a> to shareholders Tuesday, General Motors CEO Mary Barra said the automaker planned to move more of its manufacturing and sourcing to the U.S. to avoid tariff exposure.\u00a0<\/p>\n Canada\u2019s friends(?) to the south: Reaction in the United States was muted.\u00a0<\/p>\n Chris Swonger, president of the Distilled Spirits Council of the United States, said<\/a> in a statement that he\u2019s glad to see the industry\u2019s pain recognized.<\/p>\n \u201cWe had hoped, however, that this issue could be resolved without further escalation,\u201d he went on. \u201cImposing a 50 per cent tariff on imported spirits from Canada deepens trade tensions and raises the risk of further retaliation.\u201d<\/p>\n John Thune, the leader of the Republican majority in the Senate, said<\/a> he\u2019s generally not a fan of tariffs but was just learning about Trump\u2019s new plans on Tuesday and was curious to learn more about the president\u2019s rationale.<\/p>\n The Senate has taken close (and ineffectual) votes against<\/a> some of Trump\u2019s previous tariffs, though Thune didn\u2019t join a handful of Republican rebels in voting against the president at the time.<\/p>\n Democratic Sen. Adam Schiff of California earlier this month called<\/a> for American alcohol to be restored to Canadian shelves. He lamented<\/a> that \u201cTrump\u2019s return to a trade war with Canada further imperils American businesses and industries\u2014like California wine\u2014that rely on Canadian markets.\u201d<\/p>\n Editor\u2019s note: This story was updated to add details, reaction and comment.<\/p>\n","protected":false},"excerpt":{"rendered":"OTTAWA \u2014 Prime Minister Mark Carney says U.S. President Donald Trump\u2019s latest tariff threats won\u2019t convince Canada to…\n","protected":false},"author":2,"featured_media":138379,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[98],"tags":[13112,4939,162,235,111,386,290,400],"class_list":["post-138378","post","type-post","status-publish","format-standard","has-post-thumbnail","category-mark-carney","tag-canada-u-s-trade","tag-cusma","tag-donald-trump","tag-economy","tag-mark-carney","tag-markets","tag-national","tag-tariffs"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts\/138378","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/comments?post=138378"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts\/138378\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/media\/138379"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/media?parent=138378"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/categories?post=138378"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/tags?post=138378"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\n\t![\"Donald](\"https:\/\/www.europesays.com\/canada\/wp-content\/uploads\/2026\/07\/1784658787_476_Trump_reciprocal_tariffs_Washington_April2025_Chip_Somodevilla_GettyImages_2208184612_1920x1280-768x.jpeg\")
\t<\/a><\/p>\n
\n\tLaura Osman and David Reevely\n\t<\/p>\n
\n\t![\"A](\"https:\/\/www.europesays.com\/canada\/wp-content\/uploads\/2026\/07\/Trucks_Bridge_Sarnia_April2025_Geoff_Robins_GettyImages_2207755061_1920x1280-768x512.jpg\")
\t<\/a><\/p>\n
\n\tDavid Reevely and Laura Osman\n\t<\/p>\n