The two-day meeting, which the government is calling a cabinet planning forum, is taking place two weeks before Parliament is set to resume.Spencer Colby/The Canadian Press
Prime Minister Mark Carney is meeting with his cabinet this week in Toronto to focus on his government’s fall agenda, which includes fast-tracking major infrastructure projects, Canada-U.S. relations and tackling crime.
The two-day meeting, which the government is calling a cabinet planning forum, is taking place two weeks before Parliament is set to resume and amid a continuing trade war with U.S. President Donald Trump that shows no signs of abating.
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The government’s plan for addressing that trade dispute, and how it is preparing for the renegotiation of the United States-Mexico-Canada Agreement, or USMCA, scheduled for next year, will be a key focus of the talks.
So will strengthening Canada’s own industries through a major projects office that is responsible for fast-tracking infrastructure initiatives of national interest and streamlining federal regulatory approvals.
Jean-Marc Léger, president of the market research company Leger, is also expected to attend.
Mr. Carney announced on Aug. 22 that Canada was dropping its retaliatory tariffs on some U.S. products in a bid to reset trade discussions with the White House that have stalled in recent weeks. Canada will retain its countertariffs on steel, aluminum and autos, Mr. Carney said, as both countries work “intensively” to find arrangements for these industries – all of which have been hammered by U.S. sectoral duties, known as Section 232 tariffs.
Last week, Canada-U.S. Trade Minister Dominic LeBlanc met with U.S. Commerce Secretary Howard Lutnick in Washington in a discussion described as positive, but which yielded no tangible outcomes.
Ottawa drops some retaliatory tariffs against the U.S. in bid to reset trade talks
According to the Prime Minister’s Office, this week’s meeting will also focus on building affordable homes, boosting Canada’s defence industries and “ensuring that sectors most impacted by U.S. tariffs have the resources they need to retool and diversify their markets.”
The meeting will also address the beginnings of Canada’s preparations for the USMCA review process, the government said, as well as addressing crime and “making Canada’s communities safer.”
Foreign affairs could also play a role in this week’s discussions, with Mr. Carney repeating in a phone call Tuesday with the Amir of Qatar, Sheikh Tamim bin Hamad Al Thani, that Canada intends to recognize a Palestinian state at the United Nations general assembly later this month as long as the Palestinian Authority commits to “much-needed reforms.” Meanwhile, nearly a fifth of the Liberal caucus issued a letter earlier this week calling for more to be done to address a rise in antisemitism.
Carney says Canada intends to recognize a Palestinian state in September
Earlier this year, Canada imposed three rounds of countertariffs covering nearly $100-billion worth of U.S. goods. However, it soon started adjusting the measures, offering carve-outs for U.S. goods used in Canadian manufacturing, and exemptions for U.S. auto companies that continue making cars in Canada.
Ottawa has made other efforts to try to secure a deal with Mr. Trump, including increasing spending on the military and border security and scrapping the Digital Services Tax that hit U.S. tech companies.
Conservative Leader Pierre Poilievre, who recently won a by-election in Alberta and will return to Parliament this fall after losing his seat in the spring election, has been highly critical of the Prime Minister for what the Opposition Leader characterized as a major climbdown with no results. Mr. Carney’s mantra in the April election campaign was “elbows up,” and Mr. Poilievre said last month that the Prime Minister’s “elbows have mysteriously gone missing.”
Ontario Premier Doug Ford, who has frequently praised Mr. Carney and vowed to work with him, has also called for increasing retaliatory measures against the U.S.
On Tuesday, he expressed concerns that Canada is backing down too easily.
“I’m getting concerned it’s almost elbows down now,” he said at an unrelated press conference in Kitchener, Ont. “No, no elbows down. Fists up, we’ve got to fight like hell like we’ve never fought before against President Trump, because he’s coming and we can’t roll over,” he said, adding he’s making sure his province uses Ontario-made and Canadian products whenever possible.
Mr. Ford was also highly critical of the federal government’s criminal-justice policies, citing recent examples of home invasions, including an incident in Vaughan, Ont., where a resident was killed.
The Ontario Premier urged Ottawa to reform the “weak Criminal Code,” which he said is too easy on repeat offenders for violent crimes, as well as the Youth Criminal Justice Act.