Article content

Canadian Prime Minister Mark Carney called an election for April 28, with polls showing a close contest between his Liberal Party and the Conservatives as the country faces a trade war and taunts about its sovereignty from United States President Donald Trump.

Article content

Article content

Carney requested the dissolution of Parliament on Sunday in a meeting with Governor General Mary Simon, who represents head of state King Charles III, triggering the election campaign.

Article content

“President Trump claims that Canada isn’t a real country. He wants to break us so America can own us. We will not let that happen,” Carney told reporters in Ottawa. “We’re over the shock of the betrayal. But we should never forget the lessons. We have to look out for ourselves.”

It’s been only nine days since Carney became prime minister. The 60-year-old took over the governing Liberals after winning the race to succeed Justin Trudeau, who had resigned under pressure from lawmakers in his own party.

For more than a year, the Conservative Party, led by Pierre Poilievre, commanded a double-digit lead as he tapped into public frustration about the cost of living and housing shortages and successfully linked those problems to Trudeau’s policies. But in recent weeks, Trump’s tariffs and his threats to use “economic force” to make Canada a U.S. state have eclipsed other issues to dominate Canadian politics, galvanizing Canadians to rally around their flag.

Trump’s menacing tone toward Canada has changed all political calculations. A new national poll of 1,500 voters by Abacus Data puts the Conservatives slightly in front. But among voters who say Trump is the top issue, the Liberals are ahead by almost 30 points, Abacus Chief Executive Officer David Coletto said in a release Sunday.

Article content

Article content

The Trump administration’s import taxes against Canadian products have come alongside grievances spanning from border security to defence spending to market access for US banks. The U.S. had a goods trade deficit of more than US$60 billion with Canada last year, a figure that Trump deems a subsidy for things he says the U.S. doesn’t need, fuelled by massive U.S. demand for Canadian oil and gas.

Carney opened his campaign with a promise to cut the tax rate on the lowest income bracket by one percentage point, which he said would save families as much as $825 a year. An official with his campaign said the tax change is estimated to cost about $6 billion. Asked how he would pay for it, Carney reiterated his pledge to improve government efficiency through new technology — including artificial intelligence — and curb spending.

Poilievre has also promised a tax cut for middle-class households.

With Carney pitching himself as a financially astute manager with experience handling crises like the 2008 financial crash, the Liberals’ prospects have improved. Polls put them in contention to win a rare fourth term, with a shot at controlling a majority of the 343 seats up for grabs in the House of Commons.

Article content

Raised in the oil-rich province of Alberta, Poilievre, 45, has outlined a vision of Canada with smaller government to unleash growth after the tax hikes and deficit spending of the Trudeau years. He’d also slash regulations to empower Canada’s hydrocarbon industry. He’s described Trudeau — son of a former prime minister — and Carney, a former Goldman Sachs banker, as elites harming ordinary Canadians with “radical, borderless globalist ideology.”

Poilievre accused the Liberals of weakening the economy and making it more vulnerable to Trump’s aggression, and repeating his promises to unleash business investment. “After the lost Liberal decade, the question is whether Canadians can afford a fourth Liberal term,” he told reporters Sunday in Gatineau, Quebec.

“I know a lot of people are worried, angry and anxious, and with good reason as a result of the president’s unacceptable threats against our country,” Poilievre said. “I share your anger and I share the worry for our future. But I also draw great resolve in knowing that we can transform the anxiety and anger into action.”

Article content

Poilievre has criticized Carney for a lack of transparency about his personal financial interests following years in the private sector in roles including chairman of investment firm Brookfield Asset Management Ltd. Carney was also chairman of Bloomberg Inc. but stepped down in January when he entered politics.

Carney’s challenge will be showing he’s different from his predecessor. He has said a government led by him will “invest more” and keep a lid on government spending.

In his first week in power, he abandoned Trudeau policies like a carbon tax on consumers and a proposed hike in capital gains taxes. He also ordered a review of the country’s contract for US fighter jets, and visited the UK and France to build ties with Europe.

Carney has said Trump’s 51st state rhetoric “will have to stop before we sit down and have a conversation about our broader partnership” with the U.S.

Both Carney and Poilievre say they’d be better at negotiating with Trump, and have talked about diversifying Canada’s trade relationships while dissolving internal barriers to trade. No party has published a full policy platform yet.

Article content

The third-place New Democratic Party, historically affiliated with labour unions, has sagged from the high teens to about 10 per cent in recent data, apparently bleeding support to the Liberals. Jagmeet Singh, the party’s leader, propped up Trudeau’s government by voting in favour of budgets and other key measures.

The surge in Canadian nationalism catalyzed Trump’s attacks may also upend other political dynamics. In French-speaking Quebec, Canada’s second most populous province, there were signs of rising support for separatism until Trump was reelected. Now, support for a separatist party, the Bloc Quebecois, appears to have waned.

Conversely, Alberta Premier Danielle Smith has issued a list of demands she says the government must address within months to boost its oil sector, or else face “an unprecedented national unity crisis.” Poilievre has said Smith’s requests are reasonable.

Carney and the Liberals have made it clear they will try to tie Poilievre to Trump as much as they can during their campaign. The prime minister said Sunday that one of the decisions for voters is “whether they want a government that is unifying, standing up for Canada and is taking focused action to build a better economy, or they want division and Americanism.”

Bloomberg.com

Article content