In March, upon becoming Liberal Party leader, Mark Carney said, “I know how the world works... and that knowledge is especially useful now, [as] we must build a new economy and create new trading relationships.”
Carney put that knowledge to the test last week at the Asia-Pacific Economic Cooperation Leaders’ Summit in South Korea, courting leaders from around the region to bolster Ottawa’s trade, defence, and energy relationships.
In Gyeongju, alongside South Korean President Lee Jae Myung, Carney announced the Canada-Republic of Korea Security and Defence Cooperation Partnership, designed to deepen co-operation on “security, defence, industry, and [...] cyber, space, and hybrid threats.”
He also met with leaders from Australia, Chile, China, Japan, New Zealand, Singapore, and Thailand. Carney's meeting with Chinese President Xi Jinping was the first meeting between leaders of the two countries since 2017.
Since becoming prime minister, Carney has held the most bilateral meetings with leaders from the U.K. (7), Ukraine (7), Mexico (5), the U.S. (5), and Australia (4). He’s also logged three bilats each with leaders from China, Japan, New Zealand, and Singapore.
Graphic Design: Chloe Fenemore / APF Canada
Carney’s Rolodex reflects his priorities: salvaging North American trade, assisting Ukraine, and pivoting Canada’s trade away from the U.S. and towards more reliable and receptive Indo-Pacific markets.
Mission critical
While Carney was abroad, his energy minister, Tim Hodgson, was convening G7 energy and environment ministers in Toronto, Ontario, for a special dialogue on critical minerals.
After two days of talks, ministers announced 26 new investments, partnerships, and measures as part of a Canada-led Critical Minerals Production Alliance.
Ottawa also unveiled a “landmark” agreement with Australia — a critical minerals heavyweight whose resources minister was invited to Toronto — to start collaborating on critical minerals.
As part of its on-again, off-again trade war with the U.S., Beijing last month proposed severe restrictions on the exports of its critical minerals, rocking Washington. Hodgson, without naming China, said that G7 countries are moving to “reduce dependence on concentrated supply chains.”
Dollars, cents, and defence
Carney’s Liberal Party, now two seats shy of a majority, released its first budget on Tuesday, pledging massive infrastructure spending, cuts to the public service and international development, and a new trade diversification fund to bolster access to overseas markets.
The Liberals are also proposing a significant reduction in the number of new permanent and temporary residents in Canada, impacting, among others, Hong Kong residents and Indian and Chinese international students.
The budget also proposes spending an additional C$84 billion on defence over the next five years.
