Carney invites Mexico’s President to G7 summit, raising hopes for sideline tariff talks with Trump

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Prime Minister Mark Carney has invited Mexican President Claudia Sheinbaum to attend the Group of Seven Leaders’ Summit in Kananaskis, Alta., next month, two sources familiar with the matter say.

Ms. Sheinbaum’s inclusion in the three-day event would provide an opportunity for sideline talks with U.S. President Donald Trump on his protectionist tariffs and the future of North America’s trilateral trade agreement. It would be the first three-way meeting between the leaders of Canada, Mexico and the United States since Mr. Trump took office.

The Globe and Mail is not naming the two sources because they are not authorized to discuss the matter publicly.

It’s not known whether Ms. Sheinbaum will accept the invitation. Mexico’s embassy in Canada declined to confirm the invitation or to offer comment.

Goldy Hyder, president of the Business Council of Canada, has been aggressively pushing the Carney government behind the scenes to invite Ms. Sheinbaum to Kananaskis.

“It’s a no-brainer because we share a continent with this other democracy,” Mr. Hyder said. “To have her there, someone who has been very effective in managing and working with the President, someone the President has fondness for, is not a bad ally,” he said, referring to Mr. Trump.

The U.S. President’s trade war on Canada and Mexico, which began in March, is discouraging capital investment in Canadian industry and has driven up costs for consumers and businesses.

The G7 summit is being held just outside Calgary. Here’s who will be there and what these meetings achieve

On May 6, during a face-to-face visit in Washington with Mr. Carney, Mr. Trump told journalists he’s not sure the trilateral United States-Mexico-Canada Agreement (USMCA) – which sets the rules for trade between the countries – is still relevant.

In an interview with CBC’s Power and Politics on Tuesday, however, Mr. Carney said there have been intensive discussions since then to work out a trilateral trade deal.

He indicated that a deal could be struck before September.

“I don’t think it is either of our nations’ interest to drag out that long. I think the issues are getting in sharper relief,” he said. “But we are going to take as much of time as necessary to get the right deal for Canada, but no more.”

The Prime Minister’s Office did not return a request for comment.

Flavio Volpe, president of the Auto Parts Manufacturers Association, said he thinks the fact that Mr. Carney has invited Ms. Sheinbaum to the G7 indicates that continuing trade talks between Canada and the United States are going well. He said it also likely means the same for conversations between Mexico City and Washington.

He said Canadian auto parts makers have a lot of production in Mexico – located there to serve the U.S. auto industry – and they need a successful resolution to trilateral trade woes.

Fen Hampson, a professor of international affairs at Carleton University, said he thinks future trade talks with the U.S. might lead to a set of sectoral agreements – on autos, or steel – that could potentially even replace the USMCA.

He said having Mr. Carney, Ms. Sheinbaum and Mr. Trump in the same room at the G7 in Kananaskis would be useful to avoid allowing the White House to divide Canada and Mexico.

A trilateral talk would mean, “We hear what the Mexicans are saying, the Mexicans hear what we’re saying, and Trump doesn’t play us off against each other,” Prof. Hampson said.

Mr. Hyder said the Prime Minister’s invitation to his Mexican counterpart will help repair strained relations because of mismanagement by former prime minister Justin Trudeau and comments of Premier Doug Ford, who advocated cutting a separate trade deal with the Trump administration.

“Our sense is that she is an important partner,” said Mr. Hyder, who has meet Ms. Sheinbaum on two recent occasions. “Our best hope is that the leaders will find a way to direct the trade negotiations teams to commence with a process of reviewing and renewing the free-trade agreement.”

If the three North American leaders do sit down for talks in Kananaskis, Mr. Hyder expects Mr. Trump will push hard for a common position on how to deal with China and its unfair trade practices.

While any trade talks will be trilateral, Canada and Mexico have each been holding bilateral talks in Washington with the Trump administration on defence and security matters as well as critical minerals.

Mr. Hyder said International Trade Minister Dominic LeBlanc was in Washington last week for talks on these issues with U.S. Commerce Secretary Howard Lutnick.

“It’s tightrope that has to be walked. On the one hand, we have to stabilize our relationship with the United States. We need to remind them of the importance of the strategic partnership, and we have a lot of things that they want. But Canadians have also said, please use this moment to diversify to make sure we are not beholden to a single economy,” he said.

Canada’s ambassador to Washington, Kirsten Hillman, said earlier this month she sees discussions on security – including the illegal distribution of fentanyl – and matters such as critical minerals taking place separately from the renegotiation of the USCMA, which is up for renewal in 2026.

The current U.S. levies on Canada that remain in effect include 25-per-cent tariffs on Canadian steel and aluminum, as well as a 25-per-cent tariff on Canadian-made vehicles, which applies only to the non-U.S. content in those cars and light trucks. There is also a 25-per-cent tariff – which drops to 10 per cent on critical minerals, energy and potash – for goods that don’t comply with rules of origin in USMCA. Canada responded with a series of countertariffs on tens of billions of dollars of U.S. imports.