Skip to content

Canada's Business and Tech Newsroom

  • Professional Subscription
  • Partnerships & Advertising
  • Licensing & Syndication
Log In Subscribe
Welcome,
  • My Account
  • Log Out
  • Business
  • Tech
  • National
  • The Big Read
  • Briefings
  • Commentary
Search
Log In Subscribe
Welcome,
  • My Account
  • Log Out
Commentary

Carmichael: Canada is alone. It has only itself to blame

Canada, alone. 

Scary thought, isn’t it? We have our strengths, but we’ve long had the fantastic luck of playing wing on a line centred by the global economy’s dominant player—the French and British empires at the start of our colonial history, and then the U.S. as European power receded.

Commentary

Carmichael: Canada is alone. It has only itself to blame

This country has long gotten a free ride. The rest of the world has noticed.

By Kevin Carmichael
A Canada flag blows as people visit the White Rock Pier in White Rock, B.C., on Wednesday, April 23, 2025. The United States is seen in the distance. Photo: The Canadian Press/Sean Kilpatrick
Apr 26, 2025
A A
A Small A Medium A Large
Share

Share

Canada, alone. 

Scary thought, isn’t it? We have our strengths, but we’ve long had the fantastic luck of playing wing on a line centred by the global economy’s dominant player—the French and British empires at the start of our colonial history, and then the U.S. as European power receded.

That was never a wise strategy. As The Logic has been showing in its ongoing Resilient Canada series, if you rely on someone else to do the heavy lifting, your own ability to perform at a high level begins to atrophy. That’s Canada in a world without America on its side. 

Related Articles

A protestor in Ottawa holds a flag with a Canadian flag on one side and an American flag on the other. The protester is in silhouette, but light shining through the flag makes the US side of the flag visible through the Canadian side.

Two-thirds of you say tariffs have changed the U.S.-Canada relationship forever

By Brendan Sinclair
Governor of the Bank of Canada Tiff Macklem, right, and Senior Deputy Governor Carolyn Rogers speaking at a press conference.

Carmichael: The ‘Liberation Day’ fallout has seized the Bank of Canada’s attention

By Kevin Carmichael

Carmichael: The Trump shock marks the end of global finance as we’ve known it

By Kevin Carmichael

U.S. Treasury Secretary Scott Bessent said this week that “America first” doesn’t mean “America alone.” What it really means is a “call for deeper collaboration and mutual respect among trade partners,” Bessent said in a speech ahead of the semi-annual meetings of the International Monetary Fund and World Bank in Washington, D.C.

Somewhat soothing. A day later, Trump reiterated his desire to make Canada the 51st state. A country such as South Korea might be able to contemplate deeper collaboration with Trump’s America. Canada can’t. There’s no respect. 

We’re not entirely alone. The French president, the British prime minister and the King made time for Mark Carney when he dashed to Europe after winning the Liberal leadership. The outgoing chancellor of Germany said “we stand by your side” against America’s verbal abuse and trolling. The Canadian dollar has appreciated this month, suggesting some investors see Canada as a haven from Trump’s chaos. 

But our friends in Europe also reneged on their plan to join us in tit-for-tat tariffs over Trump’s arbitrary duties on steel and aluminum imports. The only country left by our side on that particular front of Trump’s economic war is China, which Carney has singled out as the biggest threat to Canada’s security. 

Japan was one of the first in line to do a bilateral deal with Trump, a blow to whatever hopes might exist of forming an alliance large enough to show the Trump administration what it feels like to be arbitrarily “tariffed.” Mexico has mostly operated apart.

So—mostly alone. It’s something to keep in mind amid prideful shouts such as “Canada strong” and boastful cries such as “Canada first.” The thing is, Canada has long put itself first—by free riding on the back of the world’s largest economy, refusing to meet its NATO commitments and dining out on its membership in the G7, an elite club in which we probably don’t belong. The rest of the world noticed. 

Being alone needn’t be a negative. Australia is alone. Singapore is alone. Ireland is alone. Those countries are admired. They have used their wits to fight through tough circumstances and create resilient economies. They are defined by what they do, not who they know. 

Canada will continue to trade with the U.S. no matter what happens. A betting person might put money on us muddling along somewhat like we are now. But that scenario leaves us poorer over time. We might survive Trump’s presidency, but one day find ourselves too enfeebled to stand on our own. That’s how Newfoundland and Labrador ended up joining confederation, as the province’s outgoing premier, Andrew Furey, has observed by way of warning to those of us who have less experience with what that feels like. 

Societies have a tendency to make grim circumstances worse. Evan Fraser, a geography professor at the University of Guelph, has examined episodes such as the fall of the Roman Empire, the Irish potato famine and the French Revolution—moments when abundance shifted to scarcity. He thinks we’re living through such a period now. 

“The reaction to the perception of scarcity often, almost inevitably, makes the problem worse. But in a moment of scarcity you can actually come up with new governance arrangements and new technologies to do really cool things,” Fraser said. 

“I’m feeling as optimistic and as pessimistic—and they are completely opposing emotions—as I ever have. I see in this moment of climate change and deglobalization the ingredients of doing things in a new way that’s better. But I also see the ratcheting up of political rhetoric as … us making the problem worse by our reaction.” 

Those who have built resilient societies in Asia and elsewhere with far fewer advantages than Canada have long asked why this country isn’t the richest place on Earth. The answer is that it’s been a century since we’ve had to fight for anything. The empire that birthed the Industrial Revolution, then the nation that created the modern global economy, were friends and primary trading partners.

The 2025 election might one day be seen as the moment Canada finally grew into its potential. Trump’s annexation patter knocked us down a peg, putting us in a category with non-G7 members Greenland and Panama. We hadn’t been more vulnerable since the Second World War, when then-prime minister William Lyon MacKenzie King worried that the American troops that had gathered in the north might never leave. The desire to take revenge for Justin Trudeau’s increasingly frustrating time in power was replaced by a bigger ballot question: who was best qualified to rebuild an economy that has good bones, but weak siding. 

Who knows? Maybe someday we’ll look back at all of this and laugh. If that day arrives, let’s not forget how menacing it was in the moment. Things got real. Trudeau’s wokeism and Conservative Leader Pierre Poilievre’s anti-wokeism became small. A record number of Canadians voted in advance polls. Liberals and Conservatives will likely divide the support of about 80 per cent of voters, and Carney and Poilievre both got there by emphasizing their aggressive approaches to creating economic resiliency.

“Our southern neighbours, when confronted with a scary situation, seem to have elected the loudest, angriest,” Fraser said. “Canadians when confronted with a scary situation, seem to be gravitating to a middle-ground position.” 

Sometimes it’s good to be alone.

Kevin Carmichael is The Logic’s economics columnist and editor-at-large. He has spent more than two decades covering economics, business and finance for outlets including Bloomberg News, The Globe and Mail and the Financial Post, where he also served as editor-in-chief.

#commentary #economy

Sponsored Content

Why cybersecurity needs to match pace with AI

By Jessica Aftimus Rosa

How to shift your workforce from AI experimentation to adoption

By Jessica Aftimus Rosa

The real-world economic offshoots of sovereign AI

By Deborah Aarts
Paid promotional content

Loading...

Thanks for sharing!

You have shared 5 articles this month and reached the maximum amount of shares available.

Close
This account has reached its share limit.

If you would like to purchase a sharing license please contact The Logic support at [email protected].

Close
Want to share this article?

Upgrade to all-access now

Close
Gift the full article!

You have gifted 0 article(s) this month and have 5 remaining.

Copy link and gift
Copy Link
Email to a friend
Send Email
Gift on Social Media

Recipients will be able to read the full text of the article after submitting their email address. They will not have access to other articles or subscriber benefits.

Photo: The Canadian Press/Sean Kilpatrick

Most Popular This Week

An image of Mark Carney standing in front of a red podium with the words "AI for All / L'IA pour tous." He is wearing a suit and tie. In the background, people wearing scrubs and white coats are visible.
News

Carney picks big-name researchers and investors for new AI advisory council

By Murad Hemmadi
A shot of Dominic Barton taken from behind, with his face in profile as he looks to his right. He is in a hearing room with two large video-projection screens on the wall before him.
News

Dominic Barton’s next big job for Canada? Bringing home the money

By Joanna Smith
A man stands at a chalkboard while looking at the camera. He has apparently written "It's not rocket science; it's quantum chromodynamics."
The Big Read

The professor trying to make Canada a supercomputer superpower

By Murad Hemmadi
Two individuals stand facing each other inside a lit-up installation inside a bust room. Both people are holding smartphones.
News

The Maple 8’s Canadian pledges may do little for startups and scaleups

By Catherine McIntyre

In-depth, agenda-setting reporting

Great journalism delivered straight to your inbox.

An image of a man wearing light pants and a blue collared shirt, sitting on a stage while wearing a microphone. He is smiling and looking at the ground.
News

AI could help invent new materials. First, firms must figure out how to make them

By Murad Hemmadi

Briefing

Mecka raises US$60M to gather data for robot training

By Murad Hemmadi   |   Oct 7, 2026 | 4:04 PM ET

Businesses should expect AI to get better, but not necessarily cheaper

By Murad Hemmadi   |   Oct 7, 2026 | 2:54 PM ET

Weston family and Fairfax agree to buy drugstore Boots for US$8.9B

By Anita Balakrishnan   |   Oct 7, 2026 | 2:26 PM ET

Best business newsletter in Canada

Get up to speed in minutes with insights and analysis on the most important stories of the day, every weekday.

Exclusive events

See the bigger picture with reporters and industry experts in subscriber-exclusive events.

Membership in The Logic Council

Membership provides access to our popular Slack channel, participation in subscriber surveys and invitations to exclusive events with our journalists and special guests.

Recent Popular Stories

News

Carney picks big-name researchers and investors for new AI advisory council

By Murad Hemmadi   |   Oct 2, 2026
An image of Mark Carney standing in front of a red podium with the words "AI for All / L'IA pour tous." He is wearing a suit and tie. In the background, people wearing scrubs and white coats are visible.
The Big Read

Cameco’s high-stakes bid to be Canada’s next nuclear champion

By Joanna Smith   |   Sep 23, 2026
A shot looking down the length of a tunnel with conduits along its sides and railroad-style tracks on its floor. There are two workers in the distance wearing hardhats and headlights and walking toward the camera.
The Big Read

The professor trying to make Canada a supercomputer superpower

By Murad Hemmadi   |   Sep 30, 2026
A man stands at a chalkboard while looking at the camera. He has apparently written "It's not rocket science; it's quantum chromodynamics."
News

The Maple 8’s Canadian pledges may do little for startups and scaleups

By Catherine McIntyre   |   Sep 29, 2026
Two individuals stand facing each other inside a lit-up installation inside a bust room. Both people are holding smartphones.
News

Canada dodged the money-laundering ‘grey list’—but banks remain a weak spot

By Claire Brownell   |   Sep 29, 2026
A silhouetted person walks amid a row of buildings.
News

Dominic Barton’s next big job for Canada? Bringing home the money

By Joanna Smith   |   Oct 1, 2026
A shot of Dominic Barton taken from behind, with his face in profile as he looks to his right. He is in a hearing room with two large video-projection screens on the wall before him.

Canada's most influential executives and policymakers are reading The Logic

  • CPP Investments
  • Sun Life Financial
  • C100
  • Amazon
  • Telus
  • Mastercard
  • bdc
  • Shopify
  • Rogers
  • RBC
  • General Motors
  • MaRS
  • Government of Canada
  • Uber
  • Loblaw Companies Limited
logic-logo

Canada's Business and Tech Newsroom

100% human-crafted journalism

Newsroom

  • News Tips
  • AI Policy
  • Editorial Disclosures
  • Story Pitches

Company

  • About Us
  • Terms of Service
  • Privacy Statement
  • Corporate Information

Contact

  • Contact Us
  • Advertise
  • FAQs
  • Work at The Logic

© 2026 The Logic Inc. All Rights Reserved.

Trusted by leaders

Error

Account creation failed.

Please email us at [email protected].

Create Account

[wppb-register form_name=”cozmo-registration-form-for-modal”]

I do have an account
Login
or

[wppb-login]

I don’t have an account