Carney faces crucial test after walking away from Trump's deal

1 week ago 17

The United States and Canada have entered into uncharted territory. The longtime allies and economic partners, who have enjoyed free trade for decades, are now in an escalating trade war with no clear off ramp.And for Prime Minister Mark Carney, the late night decision to suspend talks with President Donald Trump and to retaliate instead of agreeing to a deal that seemed in reach, will be a significant political test. He is one of the first world leaders to walk away from the negotiating table with the White House - and the outcome will be closely watched. Both sides have have blamed last-minute changes for torpedoing the tentative deal. Carney's decision will also challenge the appetite among Canadians to accept some economic pain as Ottawa pushes for more US concessions. After rejecting Trump's high pressure tactics, and in choosing to hit back against the latest duties, Carney will need to convince Canadians that the economic pain is worth the cost of standing up to the Trump administration in search of a better agreement in the long run.There is no doubt this will cause pain on both sides of the border, with business facing more pressure from US duties and Canadian counter-tari...

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