Carney Faces Ticking Clock on Canadian Support Amid Escalating Trade War
Canada's Prime Minister Mark Carney has received widespread support from Canadians after breaking off trade talks with the US, but this approval may be short-lived. According to a recent Angus Reid poll, 76% of Canadians approve of Carney's decision, however, 40% are worried about their jobs being at risk.
Julian Karaguesian, a former adviser at Canada's Finance Ministry and economics professor at McGill University, warned that if the trade war continues to escalate, Carney's leverage will diminish. He stated that 'Canada cannot win an economic war of attrition with the US', as the US economy is 13 times larger than Canada's.
The consequences of the trade war are already being felt in Canada, with economists predicting that Trump's latest tariffs could result in 90,000 lost jobs and a recession if the US withdraws from the US-Mexico-Canada trade agreement. Dan Arnold, a former research director for ex-Prime Minister Justin Trudeau, believes Canadians will continue to back Carney for at least six months, but it remains to be seen how long he can maintain public support.