Deepening Economic Bond Between Canada and Mexico Arises amidst U.S. Trade Turmoil
During a time of economic tension for Canada, Mexico, and the United States, Canadian Prime Minister Mark Carney and Mexican President Claudia Sheinbaum met to discuss ways to strengthen their trade relations. This historic meeting marked Carney's first visit to Mexico as Canada's leader.
The pledge to boost trade came as relations between Canada and Mexico have been strained in the past, and US President Donald Trump's ongoing trade threats have put political and business leaders on edge. However, during the meeting, no mention of these threats was made.
Canada was Mexico's fifth-largest trading partner last year, and Mexico is Canada's third-largest trading partner. The United States-Mexico-Canada trade pact, or USMCA, was a key focus of the meeting.
President Sheinbaum, Mexico’s first female president, has leveraged Mexico's maritime trade routes primarily in partnership with Canada and the United States under the USMCA agreement. Her aim is to expand trade with Canada, focusing on strengthening economic and security relations between Mexico and Canada as well as the broader North American region.
Canadian Sen. Peter Boehm has been pushing for closer relations between the Canadian and Mexican governments. He stated that comments by some Canadian provincial premiers about cutting Mexico out of trade deals were upsetting to the Mexicans.
In a positive move, Carney invited Mexican President Claudia Sheinbaum to the G7 summit in Alberta, which helped improve relations. He also expressed his expectation for 'much greater amounts of trade, much greater amounts of investment' between Mexico and Canada.
The meeting also saw the resumption of trade talks between Canada and the US, after Canada rescinded a tech tax. The exact details of the plan to increase bilateral trade in different sectors through maritime routes were not disclosed.
It is worth noting that more than 75% of Canada's exports and more than 80% of Mexico's go to the United States. The three nations are set to host the FIFA 2026 World Cup next summer, which could further bolster their economic ties.
Ontario Premier Doug Ford expressed displeasure over US President Trump's comparison of Canada to Mexico, but the meeting between Carney and Sheinbaum seems to indicate a commitment to fostering a strong and collaborative relationship between the two nations.
