in World News Who Are They Fooling? Canada’s Deep Dependence on the United States: Economic and Defense
Canadians are applauding the tough stance their government is taking against the United States after the Ontario Premier threatened, in response to Trump’s latest tariffs on Canada, “We’re Gonna…Inflict as Much Pain as Possible on The American People,” with many canceling their travel plans to the U.S. in support, while their new Prime Minister, Mark Carney, declared that the old relationship with the U.S. is over, earning him praise as a hero, though the reality is that Canada is far more dependent on the U.S. than the U.S. is on Canada, and severing ties would be akin to economic suicide.
Canada and the United States have long shared a multifaceted relationship, their 5,500-mile border tethering Canada’s prosperity and security to its southern neighbor through deep economic ties, defense collaborations, and shared infrastructures. This interdependence has shaped Canada’s strategic decisions for decades.
On March 27, after a cabinet meeting in Ottawa, Prime Minister Mark Carney declared, “The old relationship based on economic integration and military cooperation is over,” citing President Donald Trump’s steep tariff threats—including a 25% levy on Canadian cars and parts—as a “direct attack” violating the USMCA. With Trump hinting at even harsher measures on Truth Social, Carney warned that the U.S. is no longer reliable, vowing to “dramatically reduce” Canada’s dependence and pivot toward allies like France and the UK. Promising forceful retaliatory trade actions as Canada now braces for a trade war, marking the end of decades of trust and a urgent push for new global alliances.
Canada’s economy is profoundly linked to the U.S., its largest trading partner. In the first three quarters of 2024, approximately $600 billion in goods crossed the border, rising to $683 billion with services included. Nearly every Canadian province directs at least 55% of its exports to the U.S., with some seeing trade account for 17% to 40% of their GDP. Nationally, exports to the U.S. made up 16.8% of Canada’s GDP in 2023, with critical commodities like oil, natural gas, and minerals—such as uranium and potash—flowing south.