Trade war, Alberta referendum loom large as Carney charts cabinet's year forward

Canadian Prime Minister Mark Carney is navigating a difficult political landscape marked by intensifying trade tensions with the U.S. and rising separatist sentiment in Alberta. Despite these challenges, Carney maintains high popularity as his government prepares for the upcoming parliamentary session.
Why it matters
The strained relationship between Canada and the U.S. and internal domestic pressures pose significant risks to Canada's economic stability and national unity.
"Our primary focus will be on trade and trade with Canada," said Trump at the time, standing side by side with Carney in his first visit to this country since 2018. "I'm sure we can work something out."
A little more than a year later, Carney is once again holding high-level meetings in the Rocky Mountains of the province where he grew up, this time to plan the upcoming parliamentary sitting with his cabinet, fresh off three byelections where his governing Liberals cleaned up.
But there is little else in common with the optimistic outlook of 2025.
Trade tensions between Canada and the U.S. only continue to intensify, while the danger of Alberta's departure from federation has become much more real.
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