Canada will find it hard to avoid a recession if the United States is hit, Canadian Prime Minister Mark Carney, a former banker, said during a campaign event for the legislative elections on Monday.
„The probability of a recession in the United States has significantly increased. This will have significant effects on the Canadian economy, and it will be very difficult for us to avoid it,” he said, as reported by AFP.
For Mark Carney, who has led both the Bank of Canada and the Bank of England, the falls on global stock markets are not a surprise: "They are reacting to what we have announced, namely that these tariffs are fundamentally damaging to the American economy and also the global economy," he added.
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The world is in shock following last week's announcement of sometimes exorbitant tariffs against the trading partners of the USA, causing international stock markets to plummet.
American President Donald Trump stated on Monday that he is not considering halting the implementation of the new tariffs.
Canada, one of the main trading partners of the United States, has largely been spared by the recent announcements, but has been targeted for some time with tariffs on steel and aluminum, as well as automobiles.
In this context, Mark Carney reiterated his desire to accelerate investments in Canada, particularly by removing trade barriers between Canadian provinces and facilitating workforce mobility.
"We cannot control the United States, we cannot control the decisions of President Trump, but we can control what we do here in this country," he emphasized.
The Prime Minister, who succeeded Justin Trudeau last month, has called for parliamentary elections on April 28, where his Liberal Party is expected to win.
The Liberals were behind in the polls earlier this year, but regained momentum due to Donald Trump's trade offensive, with their conservative opponents seen as closer to the American president.