Canadian PM says close economic ties with US have become a ‘weakness’

Former central bank governor Mark Carney warns Canada's deep economic reliance on the United States is now a strategic vulnerability. | Contesto: cronaca

Punti chiave

• Canadian PM says close economic ties with US have become a ‘weakness’

Contesto

Mark Carney, the former Governor of the Bank of Canada and the Bank of England, has issued a stark warning that Canada's historically close economic ties with the United States have become a "weakness" that must be urgently addressed. Speaking in a public address, Carney argued that the foundational economic relationship, long considered Canada's greatest strength, now exposes the nation to significant risk due to shifting political and economic dynamics south of the border. He called for a deliberate and accelerated strategy to diversify Canada's international economic partnerships beyond its dominant southern neighbor. The core of Carney's argument hinges on the profound concentration of Canadian trade. For decades, the United States has been the destination for approximately three-quarters of all Canadian exports, a dependency woven into the fabric of the North American economy through agreements like the USMCA. This integration has provided stability and growth, but Carney contends it has also bred complacency. "Our economic model has been to attach ourselves to the largest, most dynamic economy in the world," Carney noted, framing a relationship that is now undergoing a fundamental transformation. The vulnerability, he suggests, is not just economic but strategic, leaving Canada's prosperity overly susceptible to American domestic policy shifts, protectionist sentiments, and geopolitical priorities that may not align with Canadian interests. This shift in the bilateral relationship has been increasingly visible in recent years. Trade disputes over softwood lumber and dairy, the renegotiation of the North American free trade agreement under threat of American withdrawal, and the application of tariffs on Canadian steel and aluminum during the previous U.S. administration highlighted the fragility of the status quo. More recently, policies like the U.S. Inflation Reduction Act, with its massive subsidies for clean energy and electric vehicles made in America, have been described by Canadian officials as a competitive challenge, potentially drawing investment away from Canada. Carney's comments crystallize a growing concern within Canadian policy and business...

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Categoria: cronaca