Key Takeaways
- Prime Minister Mark Carney will announce a new Canada‑U.S. trade advisory council on Tuesday, replacing the body established by former Prime Minister Justin Trudeau in early 2025.
- The previous council comprised former premiers, labour leaders, industry stakeholders and diplomats; the membership of Carney’s panel has not yet been disclosed.
- The move comes as the Canada‑U.S.-Mexico Agreement (CUSMA) faces its scheduled review this year, a process that originally prompted Trudeau to create a similar advisory group during the U.S.–Mexico–Canada negotiations under President Donald Trump.
- U.S. Trade Representative Jamieson Greer met with Mexican President Claudia Sheinbaum, signalling an upcoming official bilateral negotiating round in late May.
- U.S. Commerce Secretary Howard Lutnick publicly criticized Canada’s trade strategy, mocking Carney’s recent visit to China and asserting that the Prime Minister “has a problem with us.”
- Canadian officials, speaking through a spokesperson for Trade Minister Dominic LeBlanc, said they have submitted proposals to the United States, are prepared to negotiate swiftly, and will not be the source of any delay.
- In a YouTube video, Carney described Canada’s close ties to the U.S. as “weaknesses” that must be corrected, citing ongoing threats to auto, steel and lumber workers from Trump‑era tariffs and promising regular updates on diversification efforts.
Announcement of New Advisory Council
Prime Minister Mark Carney is set to unveil a new advisory council focused on Canada‑U.S. trade relations on Tuesday, according to two sources familiar with the planning. The council will replace the one originally created by former Prime Minister Justin Trudeau in early 2025. CBC News has agreed not to name the sources, as they were not authorized to speak publicly about the forthcoming appointment. The move signals Carney’s intention to refresh the mechanism that provides strategic counsel on bilateral trade issues, especially as the existing agreement undergoes its mandated review.
Composition and Background of the Previous Council
Trudeau’s advisory group, which Carney’s new body will supersede, included a diverse mix of former provincial premiers, labour union leaders, representatives from key industrial sectors, and experienced diplomats. This composition was designed to bring a breadth of perspectives—from regional economic concerns to international diplomatic insights—to the table during a period of heightened trade uncertainty. While the specifics of Carney’s selections remain undisclosed, the precedent suggests he may also seek a blend of political, labour, business, and foreign‑service expertise to address the coming challenges.
Context of CUSMA Review
The timing of the new council coincides with the scheduled review of the Canada‑U.S.-Mexico Agreement (CUSMA), the trilateral trade pact that replaced NAFTA. Trudeau had previously struck a similar advisory committee during the negotiations that led to CUSMA while Donald Trump was serving his first term as U.S. president. That agreement is now subject to a periodic review later this year, prompting both Ottawa and Washington to prepare their positions and potential adjustments. Carney’s advisory council is therefore expected to play a pivotal role in shaping Canada’s stance ahead of the review process.
U.S.-Mexico Bilateral Talks
Adding to the diplomatic backdrop, U.S. Trade Representative Jamieson Greer met with Mexican President Claudia Sheinbaum on Monday, a meeting summarized in a joint statement released by Greer’s office. The statement indicated that the United States and Mexico will hold an “official bilateral negotiating round” in late May. Although the discussion primarily involved the two nations, its outcome could influence the broader trilateral framework, especially as Canada seeks to ensure its interests are protected amid any renegotiations or side‑agreements that may emerge.
U.S. Commerce Secretary’s Criticism
U.S. Commerce Secretary Howard Lutnick directed sharp criticism at Canada’s trade approach on Friday, asserting that Prime Minister Mark Carney “has a problem with us.” Lutnick mocked Carney’s recent trade visit to China, suggesting that the Prime Minister’s outreach to Beijing undermines cooperation with the United States. The remarks were highlighted during an interview with Semafor editor‑in‑chief Ben Smith on the program Power & Politics. Lutnick’s comments reflect a broader frustration within certain Washington circles regarding perceived Canadian divergences from U.S. trade priorities.
Canada’s Response and Readiness
In rebuttal, a spokesperson for Canada’s Trade Minister, Dominic LeBlanc, told CBC News that officials have already submitted a number of proposals to the United States and are prepared to move quickly toward a deal. The spokesperson emphasized that Canada is “ready to do the work to get to a deal very quickly” and will “certainly not be the source of any delay.” They added that engagement with U.S. counterparts is ongoing, indicating that despite the public rhetoric, diplomatic channels remain active and focused on finding mutually acceptable solutions.
Carney’s Assessment of U.S.-Canada Trade Ties
In a video posted to YouTube on Sunday morning, Prime Minister Mark Carney characterized Canada’s reliance on the United States as a series of “weaknesses” that must be corrected. He argued that many of Canada’s former economic strengths—derived from its close integration with the U.S. market—have become vulnerabilities, particularly for workers in the auto, steel, and lumber sectors who remain exposed to the high tariffs imposed during the Trump administration. Carney warned that the United States has “fundamentally changed its approach to trade, raising its tariffs to levels last seen during the Great Depression,” and called for a strategic shift to reduce dependence on a single trading partner.
Carney’s Call for Diversification and Updates
Beyond diagnosing the problem, Carney pledged to keep Canadians informed about the government’s diversification efforts. He said regular updates on initiatives aimed at broadening Canada’s trade relationships—such as deepening ties with Asia, Europe, and emerging markets—would be forthcoming. By framing the issue as a national conversation, Carney seeks to build public support for policies that lessen the country’s exposure to U.S. policy swings while preserving the benefits of the existing North American trade framework. The forthcoming advisory council is expected to provide the technical guidance needed to translate this vision into concrete action.