Canada Lessens Reliance on U.S., Doubles Exports to Other Countries

Prime Minister Mark Carney has set a goal for Canada to double its non-U.S. exports over the next decade, saying that American tariffs are causing a chill in investment, Rob Gillies reported for the Associated Press (AP).

More than 75% of Canada’s exports currently go to the U.S.

Carney said recently that many of Canada’s former strengths—based on close ties to the U.S.—have become vulnerabilities.

“The jobs of workers in our industries most affected by U.S. tariffs—autos, steel, lumber—are under threat. Our businesses are holding back investments, restrained by the pall of uncertainty that is hanging over all of us,” Carney said.

About 60% of U.S. crude oil imports and 85% of U.S. electricity imports come from Canada.

The country is also the largest foreign supplier of steel, aluminum, and uranium to the U.S., and holds 34 critical minerals and metals that the Pentagon is investing in for national security.

President Donald Trump has been threatening Canada’s economy and sovereignty with tariffs and recently claimed that Canada could be “the 51st state.” Carney reiterated in an address to Canadians that the decades-long process of deepening economic integration with the U.S. is now over.

“The U.S. has fundamentally changed its approach to trade, raising its tariffs to levels last seen during the Great Depression,” he said. “We have to take care of ourselves because we can’t rely on one foreign partner.”

More than 75% of Canada’s exports currently go to the U.S.

“We are re-engaging with the global giants India and China,” Carney added. Canada remains the top export destination for 36 U.S. states, with nearly 3.6 billion Canadian dollars ($2.7 billion) worth of goods and services crossing the border daily.