U.S. President Donald Trump has sparked controversy again by implying that Canada might function better as a U.S. state, just days before Canadians cast their ballots. Speaking from the Oval Office on Wednesday afternoon, Trump made several strong comments about Canada, its economy, and its relationship with the United States. These remarks come after more than a week of silence from Trump about Canada.
Trump’s Bold Statements Stir Attention before Canadian Federal Election
Trump reiterated a long-standing and extensively refuted assertion, claiming that the US “subsidizes” Canada to the tune of $200 billion USD annually. “I have to admit, as a state, it works great,” he continued. They purchase from us and sell to us in 95% of their transactions.
Trump further claimed that without U.S. trade, Canada “would cease to exist,” quoting what he said was a past conversation with Prime Minister Justin Trudeau. He referred to Trudeau as “Governor Trudeau, affectionately,” suggesting again that he views Canada more like a U.S. state than a sovereign country.
Although he said it would be “inappropriate” to comment on the Canadian election, his words came at a time when Canadian political discussions had shifted away from U.S. relations. Trump’s remarks have pushed the issue back into the spotlight.
Comments Draw Mixed Reactions amid Tight Election Race
The Canadian federal election campaign is nearing its conclusion. The race between Conservative Leader Pierre Poilievre and Liberal Leader Mark Carney is quite tight. Political tension has increased as a result of Trump’s remarks.
In response, Carney emphasized the importance of strong leadership during his speech in Victoria on Wednesday. “A united nation needs real leadership at this time.. We need to come together so we can fight President Trump together,” Carney told supporters. He said that he had only spoken with Trump once, during a phone call in March, and that the conversation had been respectful.
Carney also used the opportunity to criticize Poilievre, accusing him of promoting “American-style” policies on homelessness, housing, and mental health. Meanwhile, Poilievre has focused his campaign on reducing the cost of living and limiting government interference.
The public’s focus in the election has recently shifted. According to CBC’s Vote Compass, Canada-U.S. relations were a top concern before last week’s debates. Since then, economic issues and the cost of living have become more important to voters.
During his Winnipeg campaign, NDP Leader Jagmeet Singh also responded to Trump’s remarks. He called the suggestion of increased tariffs “devastating news” for Canadian workers. Singh urged the government to expand employment insurance to support those who might be affected.
Tariff Talk Raises Fears of Economic Impact
U.S. President Donald Trump reignited trade tensions with Canada by discussing tariffs on key Canadian exports like aluminum, steel, auto parts, and softwood lumber. When asked if more tariffs were coming, he replied, “At some point, it could go up,” though he gave no clear plans.
Trump also repeated a controversial claim that the U.S. “subsidizes” Canada by $200 billion, a number he has used before with varying figures. According to trade experts, there is no evidence to back this position. In reality, Canada’s trade deficit with the U.S. in 2024 was about $63 billion — meaning Canada imported more than it exported, but that’s not a subsidy.
In response to earlier tariffs, Canada placed its own duties on $60 billion worth of U.S. goods, including parts used in auto manufacturing. The Canadian government also expanded Employment Insurance and offered aid to businesses affected by the trade battle.
This isn’t the first time Trump has claimed the U.S. doesn’t need Canadian oil, lumber, or cars. His remarks have strained ties between the United States and Canada and are currently igniting political controversy in Canada ahead of the federal election.