Mark Carney vows to make Canadian economy stronger than US

Liberal Party leadership candidate Mark Carney has pledged to make Canada’s economy stronger than that of the U.S. and its other major allies.

“I’m ready to make Canada the strongest economy in the G7,” Carney, who also served as the governor of the Bank of Canada (2008-2013) and the Bank of England (2013-2020), posted to X on Tuesday, alongside a link to his campaign donation page.

Why It Matters

Carney’s promise comes amid a period of extreme tension between the U.S. and Canada, spurred by President Donald Trump‘s blanket tariffs and those targeting the Canadian economy specifically. These have led to concerns over the economic impacts on both countries, teasing threats of annexation from the U.S. president and retaliatory trade measures from Canada, while also sparking the internal party debates that led to the resignation of Prime Minister Justin Trudeau as Liberal Party leader.

As part of his campaign messaging, Carney’s post also indicates that the Liberal Party itself may lean into an anti-U.S. stance to tap into Canadians’ concerns over a trade war, and boost their odds against the favored Conservative party in the upcoming election.

What To Know

It is not immediately clear what Carney means by the strongest economy in the G7. This could refer to macroeconomic strength and high gross domestic product (GDP); stable inflation and a strengthening currency; fiscal health and a balanced or surplus budget; resilience to economic shocks and global downturns; or be in labor market terms, i.e., employment opportunities, job security and wages that are commensurate to costs.

Other candidates vying to replace Trudeau as Liberal Party leader have similarly honed in on economic issues, while also stressing their ability to address the current tensions in Canada’s trading relationship with the U.S.

Chrystia Freeland, whose resignation as finance minister in January set Trudeau’s departure in motion, promised to match Trump’s tariffs “dollar-for-dollar” if elected.

In an interview with Newsweek, former House of Commons member and Liberal Party leadership candidate Ruby Dhalla said that should Trump carry out the 25 percent tariffs on Canada—currently on pause until early March—she would propose a 25 percent reduction in gas, uranium and electric power exports to the U.S.

Striking a gentler tone, another leadership candidate, Karina Gould, said in an interview that Canada needed to be “thoughtful” in its response to Trump’s tariff threats, adding that the country must demonstrate to the president the continued value of Canadian trade to U.S. industry.

According to a recent polling by Leger, Carney is the frontrunner, with 68 percent of the 432 Liberal voters surveyed picking him as Trudeau’s replacement, followed by Freeland (14 percent) and Gould (three percent).

What People Are Saying

Leger pollster Andrew Enns told Abacus Data in late January: “[Carney] is the new flavour on the menu and he definitely seems to be capturing not just Canadians’ attentions but also Liberal attention,”

Mark Carney told the BBC’s Newsnight: “President Trump probably thinks Canada will cave in but we are going to stand up to a bully, we’re not going to back down.”

Legal analyst Aron Solomon, in an article for Newsweek, said that Canada’s response to Trump’s tariffs should be to “move on”: “In recent years, Canada has signed major free trade agreements, including the Comprehensive Economic and Trade Agreement (CETA) with the EU and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which includes Japan, Australia, and other Pacific nations. These deals give Canadian businesses access to enormous markets with favorable terms.

“If the U.S. wants to make itself a less reliable trading partner, Canada will simply double down on these relationships.”

House of Commons member and Liberal Party leadership candidate Karina Gould told CTV News: “We need a major charm offensive in the United States to speak to everyday Americans about the impact [tariffs] will have on them.”

Donald Abelson, professor of political science at McMaster University in Hamilton, Canada, previously told Newsweek: “If Conservative Leader Pierre Poilievre wins the next Canadian Federal Election (and with a majority government) it might help create a stronger bond between our PM and the U.S. President.”

What Happens Next?

The Liberal Party leadership candidates are set to take part in two nationally televised debates next week. The first will be conducted in French and take place in Montreal on February 24, followed by an English debate on February 25. The leadership race is set to conclude on March 9.

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