Melanie Joly, Minister of Industry, and Dominic LeBlanc, Minister responsible for Canada-U.S. Trade, were among the few ministers made available to the media at the Liberal cabinet retreat on Thursday.Chris Young/The Canadian Press
With Parliament resuming in just under two weeks, Prime Minister Mark Carney gathered his cabinet ministers in Toronto this week for a meeting to take stock of the global and domestic economic and political environment, as well as laying out what the government wants to achieve this fall and how they’ll do that.
Here are five takeaways.
Talking to Americans
Mr. Carney revealed that he spoke to President Donald Trump on Monday, in what he said was a lengthy conversation covering trade, geopolitics and labour issues.
But there’s no resolution – yet – to the continuing trade disputes. Mr. Carney, as well as Dominic LeBlanc, the minister for Canada-U.S. trade, said the focus now is on specific deals related to sectoral tariffs – those imposed by the U.S., and in retaliation by Canada, on sectors such as steel, aluminum and automobiles.
Mr. Carney warned reporters not to expect “white smoke” to come billowing out of this week’s round of meetings between senior officials. Among those representing Canada is the most senior bureaucrat in Ottawa, Michael Sabia, Clerk of the Privy Council.
Mr. LeBlanc explained to reporters Thursday what Mr. Sabia is in Washington to do: find some common negotiating ground.
Canada is pursuing “technical discussions” with the Americans to try to strike deals that would be beneficial to both countries, Mr. LeBlanc said.
“Those discussions start by having base understandings, common understandings, of a series of potential options that may ultimately form what the Prime Minister said would be a series of small deals that cumulatively would put us in a better position than right now.”
The Prime Minister is also expected to make an announcement in Toronto on Friday focused on Canada’s strategic sectors.
Prime Minister Mark Carney said Canada is making progress on ‘small’ tariff deals with the U.S. for key sectors after revealing he spoke by phone with U.S. President Donald Trump earlier in the week. He said he spoke with Trump ‘at length’ on a wide range of issues, including trade, geopolitics and employment.
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Talking to Canadians
Executives from Leger, a market-research company, were among those invited to brief cabinet.
The company’s president and CEO, Jean-Marc Léger, told reporters that the Carney government was elected by Canadians who saw tariffs as the most important issue.
But now, they are only fourth on a list of priorities and most Canadians are concerned more generally about the economy as a whole.
About half of Canadians don’t believe Mr. Carney will succeed in striking a tariff deal with the Americans.
“The expectations are, it will be difficult for the next few months, and people understand that,” Mr. Léger said.
So what does that mean for cabinet?
Industry Minister Mélanie Joly said “people want us to be in action mode.”
“Canadians are focused on seeing what’s next,” she told reporters, citing the Carney government’s promises to build new infrastructure, create new global economic partnerships, attract investment into Canada and create jobs.
Some of the discussion about how the Carney government will respond to Canadians’ concerns will happen next week in Edmonton, when he gathers together his broader caucus for another planning session.
“Austerity” budget?
Mr. Carney didn’t shy away from using the “a” word to describe the coming fall budget. When asked by a reporter, in French, what kind of document it would be, he said the spending plan would be an “austerity and investment budget,” and argued that both can be done at the same time.
He also criticized the sharp rise in government spending over the past decade, and said that style of fiscal management couldn’t continue.
Finance Minister François-Philippe Champagne said the following day that “tough choices” are ahead, emphasizing that the government is committed to its spending review.
The budget is expected to include some initial details on the spending cuts, which Mr. Carney said will affect the government’s day-to-day spending.
Controlling the message
The Prime Minister was the main spokesperson for the meeting, which was styled as a “planning forum,” in lieu of the previous description of similar events as “cabinet retreats.”
He laid out the key elements of the agenda: the economy, housing and infrastructure.
But then, unlike former prime minister Justin Trudeau’s cabinet retreats, ministers were not freely available to take questions.
Instead, just a handful of ministers were made available: Mr. Champagne, Mr. LeBlanc and Ms. Joly.
It’s not the first time that Mr. Carney has kept journalists at a distance from cabinet; his first such gathering, in the spring, was completely closed to the media.
Controversial Trump ally cancelsOpen this photo in gallery:
Kevin Roberts, President of The Heritage Foundation, said he was invited to offer insight into the Trump administration’s trade priorities, but decided not to attend.SARAH SILBIGER/Reuters
Kevin Roberts – the president of the Heritage Foundation, a right-wing think tank with significant ties to the Trump administration – had been invited to address the cabinet meeting.
The Heritage Foundation was also behind an effort known as Project 2025, a controversial proposal for an overhaul of the U.S. government.
The Prime Minister’s Office said he was invited to offer insight into the Trump administration’s trade priorities ahead of the United States-Mexico-Canada Agreement review next year, and that the discussion would focus solely on trade.
But word of his presence drew outcry from some Liberals who said the government should not be inviting such guests to the event.
Then, he cancelled.
“Regrettably, Dr. Roberts’ office indicated that he can no longer join us to present today. Our team will continue further engagement and discussions with him and other leading U.S. policy figures soon, regarding Canada’s economic and security relationship with the United States,” said a statement from the PMO.
Mr. Champagne defended the invitation on Thursday, saying it’s important to hear from “different perspectives” about the Trump administration’s plans.
In a statement, a spokesperson for the Heritage Foundation said Mr. Roberts “appreciated the invitation from Prime Minister Carney but is unable to attend the cabinet meeting and will be working in Washington today.”