Title: Carney Rejects Retaliatory Tariffs Amid Trade Negotiations

Prime Minister Mark Carney announced Thursday that Canada will not impose additional retaliatory tariffs on American goods, despite ongoing tensions in the trade war. Carney indicated that recent discussions between Canada and the U.S. are showing positive signs, suggesting a potential resolution is possible.

Carney faces mounting pressure from provincial leaders, including Ontario's Doug Ford, and labor organizations to take a firmer stance against U.S. President Donald Trump. Trump has increased tariffs on key sectors, which have resulted in job losses and reduced investment in Canada. This announcement follows Stellantis's decision to shift production of its Jeep Compass from Brampton, Ontario, to Illinois, a move Carney described as a "direct consequence" of U.S. trade policies.

Ford, who is scheduled to meet with Carney later Thursday, expressed his frustration, stating, "If we can't get a deal, let's start hitting the U.S. back hard." He criticized the current approach, saying, "We are nice, nice, nice. Play nice in the sandbox. I am sick and tired of sitting and rolling over. We need to fight back."

In response, Carney emphasized the importance of dialogue at this stage. "There's time to hit back and there's time to talk. And right now it's time to talk," he said during an unrelated announcement on crime. He noted that intense negotiations are currently underway.

The Brampton plant has become a significant casualty of Trump's efforts to bring auto manufacturing back to the U.S. Carney mentioned that he had communicated with Stellantis CEO Antonio Filosa, expressing disappointment over the production shift. Filosa indicated that the decision to potentially move another model to Brampton would depend on the renegotiation of the Canada-U.S.-Mexico Agreement (CUSMA) set to begin next year. This renegotiation is expected to address the automotive sector, given Trump's focus on enhancing U.S. car manufacturing.

Meanwhile, Carney reassured that some workers laid off from the Brampton facility could transition to jobs at Stellantis's Windsor plant, which is expanding operations to include a third shift for Chrysler Pacifica minivans and other products. He also mentioned that the government anticipates Stellantis will provide retraining support for affected employees.