Michael Pillsbury, senior fellow for China Strategy at the Heritage Foundation, warned that Canada’s trade deal with China and Prime Minister Mark Carney‘s decision to bypass President Donald Trump could ultimately backfire on the country.
Canada Should Align With US, Pillsbury Says
During an interview on Fox Business’ The Claman Countdown on Monday, Pillsbury told host Liz Claman that Carney is “playing with fire.” He also stated that Trump’s statement about being okay with the deal has a “double meaning,” implying Trump is fully aware that China has a record of not honoring or implementing its trade commitments.
Pillsbury emphasized that Canada should work with the U.S., given that 75% of Canadian exports go to America, rather than “taunting” Trump. He also stated that China loves to see the U.S. squabbling with the allies.
He urged Carney to rethink the deal with China, if he doesn’t want to be “punished severely ” by Trump later.
Speaking about Trump’s coercive tariff strategy, Pillsbury explained that since 1987, the president has perceived it as a “political source of leverage” rather than pure economics.
“At the end of another year or two, we’re going to see some real accomplishments by Trump,” stated the China strategist.
Strained US-Canada Trade Relations
Trump endorsed the Canada-China trade deal on Friday, calling it a “good thing” and stating that Carney should be making such a deal.
During Trump’s second term, U.S.-Canada trade relations grew increasingly strained, driven by tariff threats on steel, aluminum, and other key imports. Negotiations often veered toward tension, as Trump pushed for more favorable terms for American industries, prompting Canada to consider retaliatory measures, which it eased later.
So far, Trump and Carney haven’t been able to reach a trade deal despite several months of negotiations and meetings. U.S. Trade Representative Jamieson Greer also suggested that Trump might consider exiting the United States-Mexico-Canada Agreement (USMCA) in 2026.
Economist Justin Wolfers also criticized Trump’s understanding of trade, stating that it’s not fundamentally about competition but rather about cooperation. He warned that the U.S.’s combative approach to its allies, including the recent tariff threats, may have contributed to Canada’s decision to deepen its ties with China.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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