Canadian Prime Minister Mark Carney is making something very clear: he's not backing down from what he said in Davos, no matter what Treasury Secretary Scott Bessent claims happened during a recent conversation with President Donald Trump.
Speaking to CBC on Tuesday, Carney was direct about it. "To be absolutely clear, and I said this to the president, I meant what I said in Davos," he stated. The Canadian leader characterized his exchange with Trump as a "very good conversation" that covered plenty of ground, including Arctic security and the ongoing situations in Ukraine and Venezuela.
According to Carney, he also updated Trump on Canada's support for the new direction in American trade policy, walked him through the details of Canada's trade deal with China, and highlighted the country's impressive track record of securing 12 new deals across four continents in just six months.
"He was impressed," Carney said of Trump's reaction.
The two leaders also discussed the upcoming review of the U.S.-Mexico-Canada Agreement (USMCA) and Canada's strategy to use this review as an opportunity to forge new relationships throughout the United States, according to Carney.
The He-Said, He-Said Moment
So what's the dispute about? Bessent told Fox News' Sean Hannity on Monday that he witnessed Carney backtrack on his World Economic Forum remarks during the call with Trump from the Oval Office. That's a pretty specific claim.
The controversial Davos speech in question had Carney declaring that the U.S.-led global order has ended and warning that middle powers like Canada must unite or risk being overpowered by larger nations. Not exactly the kind of thing that plays well in Washington.
Trade Tensions Running Hot
This diplomatic back-and-forth is happening against a backdrop of escalating friction between the two neighbors. Trump recently threatened to slap a 100% tariff on Canadian imports, citing Canada's trade agreement with China. The president accused Canada of essentially acting as a "Drop Off Port" for Chinese goods trying to sneak into the U.S. market.
Earlier, Trump withdrew Canada's invitation to join his "Board of Peace" after Carney's Davos speech. The terms of Canada's participation, including the financial details, were still being hammered out when Trump pulled the plug.
The diplomatic rift keeps deepening. China strategist Michael Pillsbury has warned that Canada's trade deal with China and Carney's decision to bypass Trump could bring serious consequences for the country. Whether Carney actually backtracked or is standing firm might seem like a minor point, but in diplomacy, these things matter.
