Key Takeaways
- Prime Minister Mark Carney did not walk back his sentiments in his World Economic Forum speech, despite claims by U.S. Secretary Scott Bessent.
- Carney’s speech urged countries to recognize the "rupture" in the global order and accept the end of a rules-based global order.
- The phone call with U.S. President Donald Trump included a discussion on a wide range of issues, including the situation in Ukraine, Venezuela, Arctic security, and Canada’s trade deal with China.
- Trump has threatened to impose a 100 per cent tariff on Canadian goods if Ottawa follows through on a trade deal with U.S. rival China.
- Carney’s speech in Davos emphasized the need for "middle powers" to act together to avoid being victimized by American hegemony.
Introduction to the Global Order
The global order has undergone a significant shift in recent years, with many countries struggling to adapt to the new reality. Prime Minister Mark Carney addressed this issue in his speech at the World Economic Forum in Davos, Switzerland, where he urged nations to accept the end of a rules-based global order. Carney’s comments were met with a standing ovation from the audience, which included many world leaders and industry titans. However, U.S. President Donald Trump was critical of the speech, and his administration has since taken steps to pressure Canada into abandoning its trade deal with China.
The Phone Call with President Trump
Despite the controversy surrounding his speech, Carney spoke with President Trump on Sunday in a phone call that covered a wide range of issues. According to Carney, the call was a good conversation, and Trump understood Canada’s position on trade and other matters. However, U.S. Secretary Scott Bessent claimed that Carney had "aggressively" walked back some of his comments from the Davos speech during the call. Carney denied this, stating that he meant what he said in Davos and that Canada was responding to the change in U.S. trade policy initiated by Trump.
The Trade Deal with China
One of the key issues discussed during the phone call was Canada’s trade deal with China, which has drawn Trump’s ire. Carney explained to Trump that Canada’s arrangement with China was necessary to protect the country’s economic interests. However, Trump has threatened to impose a 100 per cent tariff on Canadian goods if Ottawa follows through on the trade deal. This would be a disaster for Canada, according to Bessent, and would have significant consequences for the country’s economy.
The Need for Middle Powers to Act Together
Carney’s speech in Davos emphasized the need for "middle powers" like Canada to act together to avoid being victimized by American hegemony. This message was well-received by the audience, which responded with a standing ovation. Carney’s comments were seen as a call to action for countries that are not part of the traditional global power structure to work together to protect their interests. This is particularly relevant in the current global context, where the rules-based order is under threat and countries are seeking new ways to navigate the international system.
Conclusion and Next Steps
In conclusion, the controversy surrounding Carney’s speech in Davos highlights the challenges facing the global order in the current era. The phone call with President Trump and the discussion over the trade deal with China demonstrate the complexities of international relations and the need for countries to navigate competing interests and priorities. As the global order continues to evolve, it is likely that we will see more tensions and conflicts between countries with different interests and values. However, by working together and finding common ground, countries like Canada can help to promote stability and cooperation in the international system.
