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Carney fends off US tariff criticism as Canada commits to ReArm Europe defence pact

It introduced bills to eliminate internal trade barriers by Canada Day to underpin its sovereignty and defence build-up

Canada's Prime Minister Mark Carney sits near King Charles III and Queen Camilla, in the Senate Chamber at the Senate of Canada Building for the State Opening of the Parliament of Canada, as part of the Royals' two-day visit to Canada, in Ottawa May 27, 2025. Victoria Jones/Pool via REUTERS
King Charles looks on after delivering the speech from the throne in the Senate in Ottawa on Tuesday, May 27, 2025.

Overview

  • In his first House of Commons question period, Prime Minister Mark Carney defended his government’s response to President Trump’s tariffs and rebuffed calls for an early federal budget.
  • The throne speech delivered by King Charles III pledged Canada’s formal entry into the ReArm Europe procurement plan to diversify military suppliers and reduce reliance on the United States.
  • Defence Minister David McGuinty vowed an urgent rebuilding of the Canadian Armed Forces, drawing on WWII-era mobilization to meet evolving NATO spending targets.
  • By Canada Day, legislation to remove all federal barriers to internal trade, including labour mobility, will be tabled to strengthen economic unity and resilience.
  • A new federal project office will be created to fast-track approval of nationally significant infrastructure projects, cutting timelines from five years to two.