Canadian Prime Minister Mark Carney has said Canada intends to emerge from its ongoing trade conflict with the United States as a stronger, more resilient and more independent economy, while keeping the door open for future cooperation with Washington.
Speaking at the Canada Investment Summit in Toronto on September 15, Carney said Ottawa would not rush into a new trade agreement and would instead wait for conditions that allow both countries to work together on the basis of mutual respect and sovereignty. He said Canada would continue to remain an important neighbour and trading partner of the United States, but stressed that future economic relations would need to reflect the interests of both countries.
The comments come amid continuing trade tensions between Ottawa and Washington. According to the Associated Press, trade negotiations between Canada and the United States broke down last month before Washington imposed 50% tariffs on around $20 billion worth of Canadian goods, followed by retaliatory measures from Ottawa. Carney has indicated that Canada remains prepared to negotiate when conditions are appropriate.
Alongside his message on trade, Carney used the investment summit to outline measures aimed at strengthening Canada’s domestic economy. His government announced an expanded Productivity Mega Deduction that will allow businesses to immediately deduct the cost of a wider range of eligible investments. The measure expands coverage from roughly 15% of assets to more than 65%, including areas such as technology, mining, infrastructure, aircraft and vehicles. The Canadian government said the change will reduce the marginal effective tax rate on new business investment from about 13% to 6.4%.
Ottawa also announced plans to seek private investment through long-term concessions to operate Canada’s four largest airports while retaining public ownership of the underlying land and assets. The government said capital generated through the initiative could be reinvested into transportation and other major infrastructure projects.
The Canada Investment Summit also highlighted defence and aerospace as part of Canada’s broader investment priorities. Canada’s government said the first summit brought together investors from nearly 30 countries and resulted in nearly $500 billion in new investment commitments across Canadian businesses and infrastructure. Several financial institutions also announced planned financing for strategic sectors, including defence, aerospace, critical minerals, energy, technology and infrastructure.
Carney’s latest remarks indicate that Ottawa is pursuing a broader economic strategy while trade relations with Washington remain unsettled. Canada is seeking to attract investment, strengthen domestic industries and expand economic partnerships while maintaining the possibility of a future agreement with the United States.
For Canada, the coming period is therefore expected to involve both continued engagement with Washington and efforts to build greater economic resilience at home.