President Donald Trump’s tariffs have raised costs for American families and upended decades of trade as he unveiled a $6.2 billion plan to protect Canada’s manufacturing heartland TORONTO -- Canadian Prime Minister Mark Carney said Wednesday that U.S. President Donald Trump’s tariffs have driven up costs for American families and upended a decades-old trade relationship as he unveiled a multibillion-dollar plan to shield Canada’s manufacturing heartland from the trade war. Carney also said he spoke with Trump for “quite some time” about issues including trade, as the U.S.
Embassy in Canada accused Canadian politicians of seeking to influence American politics ahead of next month’s midterm elections. Carney and Ontario Premier Doug Ford rejected suggestions of improper interference. Trump has openly said he wants automakers to move production from Canada to the United States, threatening an industry deeply integrated across the border for decades.
They discussed Ukraine days earlier. He gave no indication of a breakthrough but said Canada remains ready to negotiate. Trade negotiations collapsed in August after the countries appeared close to a deal.
Trump subsequently imposed 50% tariffs on about $20 billion in Canadian goods, prompting Canadian retaliation. Carney has made reducing Canada’s dependence on the United States a priority, setting a goal of doubling exports to other markets over the next decade. Carney and Ford announced the 8.7 billion Canadian dollar ($6.2 billion) plan to support steelmakers, automakers and critical mineral development in Ontario, Canada’s manufacturing heartland.
The plan includes CA$5.2 billion ($3.7 billion) over five years for steelmakers and CA$2.5 billion ($1.8 billion) for automakers, including CA$1.5 billion ($1.1 billion) from Ottawa. The announcement comes as U.S.-owned steelmaker Cleveland-Cliffs announced layoffs at its Hamilton, Ontario, plant, highlighting the toll of Trump’s tariffs on Canadian manufacturing. Embassy issued a fact sheet accusing Canadian politicians of seeking to interfere in American elections.
The statement singled out Industry Minister Mélanie Joly for discussing retaliatory tariffs targeting Republican states and Ford for airing a U.S. advertisement featuring former President Ronald Reagan criticizing tariffs. Trump abruptly canceled trade talks with Canada after the ad aired during the World Series in October 2025. The embassy also cited 11 Canadians charged with illegally voting in U.S. elections between 2012 and 2026, without linking the cases to Canada’s government.
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