Tensions between the United States and Canada are poised to escalate further. According to reports, US President Donald Trump threatened on the 24th that if Canada "reaches an agreement" with certain countries, he would impose 100% tariffs on Canadian goods entering the United States. In response, Canadian Prime Minister Carney urged citizens that same day to "buy national products" to counter the external threat. Prior to this, Carney had delivered a speech at the World Economic Forum, using Canada as an example to argue that "middle powers" should coordinate their actions to avoid becoming victims of US hegemony. Analysis suggests that Carney's remarks signal a major shift in Canada's policy towards the United States. Trump's threat. On January 25th, following Trump's new tariff threat against Canada, Prime Minister Carney on the 24th called on Canadians to "buy national products" to counter external threats. Carney posted a pre-recorded video on his personal social media account. In the video, Carney stated: "Given that our economy is facing threats from abroad, Canadians have made a choice: to focus on the things we can control." Although not directly mentioning the United States, Carney reiterated his commitment to promoting a "buy national products" policy. He pointed out: "We cannot control the actions of other countries. But we can be our own best customer. We will buy Canadian products, and we will use Canadian products to build our nation." On the same day, Carney shared a video over 40 seconds long on his official social media account, recapping his recent visits to China and Qatar, as well as his activities at the World Economic Forum annual meeting. He stated he is strengthening partnerships, diversifying trade, and attracting investment to secure greater economic and strategic benefits for Canada. Trump threatened in a social media post that same day, stating that if Canada "reaches an agreement" with certain countries, he would impose 100% tariffs on Canadian goods entering the US. Earlier, at the World Economic Forum in Davos, Switzerland, Carney delivered a sharply worded speech warning countries not to succumb to coercion from major powers, which contained an implicit condemnation of Trump's leadership. Furthermore, Carney recently spoke at the World Economic Forum, using Canada as an example to argue that "middle powers" should act in concert to avoid being victims of US hegemony. While not directly naming the US or Trump, Canada's move to "overturn the table" on Trump contrasts sharply with other countries that either flatter him or remain quiet for fear of provoking him. A commentary by a scholar from the University of British Columbia suggests that Carney's speech marks a significant shift in Canada's policy towards the United States. Trump had previously accused Canada of being ungrateful for US military protection, claiming the country "exists because of the United States," a statement which Carney rebutted. Additionally, Trump rescinded an invitation to Canada just one week after Carney signed on to join the so-called "Peace Committee." Trump stated that Canada opposes his planned missile defense project "Golden Dome," although it remains unclear if this is actually Ottawa's official position. However, US Treasury Secretary Bessant stated this week that Trump has invited Canada to participate in the project. US-Canada tensions intensify. Since Trump's return to the White House, relations between Washington and Ottawa have deteriorated. Trump's previous decision to raise tariffs on Canadian goods provoked anger in Canada, leading many Canadians to boycott American products and cancel trips to the US. A Pew Research Center poll shows that in 2025, 64% of Canadians hold a negative view of the United States, the highest level in over two decades. The survey indicates an even higher proportion, about 77%, of Canadians lack confidence in President Trump. Ninety percent of respondents described Trump as "arrogant," while three-quarters considered him "dangerous." Another poll conducted by the Angus Reid Institute in October last year revealed that nearly half of Canadians (46%) believe their government should treat the US as an "enemy or potential threat." The United States imports approximately 4 million barrels of oil per day from Canada, a primary crude source for refineries in the US Midwest. Simultaneously, the US is a major buyer of Canadian metals and fertilizers. Automotive industry management has warned the Trump administration that imposing tariffs on auto parts—a major Canadian export—would quickly disrupt manufacturing operations at US plants. Historically, three-quarters of Canadian exports went to the US, but the trade conflict has now inflicted substantial impact on the Canadian economy. Based on an analysis of previously released data from Statistics Canada, Canadian exports to the US fell by approximately 2% in 2025, partly due to tariffs making these goods more expensive for US importers. In the second quarter of 2025, Canada's Gross Domestic Product (GDP) contracted at an annualized rate of 1.6%, with exports plummeting by 7.5%. Bank of Canada Governor Tiff Macklem noted that US trade actions and the associated uncertainty have had a "serious impact" on key Canadian industries such as automobiles, steel, aluminum, and lumber. To reduce dependence on the US, the Carney government is pushing for an economic transformation centered on "diversification and resilience." The federal government's recent budget proposal aims to double the value of exports to non-US markets over the next decade. Canadian Finance Minister Shang Pengfei stated the plan is designed to transition the Canadian economy "from reliance on a single trading partner to a stronger, more resilient economy capable of withstanding global shocks."