Canadian Prime Minister Mark Carney has firmly denied assertions that he retracted his critical Davos speech during a phone conversation with U.S. President Donald Trump, insisting that he stands by his remarks about the challenges posed by great powers in the international arena. The denial comes after U.S. Treasury Secretary Scott Bessent claimed Carney had aggressively walked back his comments, sparking a public dispute over the content of the Monday call.
Carney confirmed that Trump initiated the call on January 27, during which they discussed a range of issues including security in the Arctic, the situations in Ukraine and Venezuela, and the upcoming review of the United States-Mexico-Canada Agreement (USMCA). The prime minister emphasized that he told Trump directly, ‘I meant what I said in Davos,’ referring to his speech at the World Economic Forum where he argued that the U.S.-led international order is fading and middle powers must collaborate to avoid subordination.
In his Davos address, Carney indirectly criticized American hegemony, warning that great powers are using economic integration as weapons and that countries like Canada cannot afford to negotiate bilaterally from a position of weakness. This speech drew a sharp response from Trump, who in his own Davos remarks suggested that Canada’s prosperity depends on the United States, a sentiment echoed by Bessent in subsequent interviews.
Bessent, appearing on Fox News, claimed that Carney used the phone call to recant his Davos comments, describing the prime minister as ‘very aggressively walking back’ his statements. However, Carney dismissed this account, stating that the conversation was constructive and covered mutual interests without any retraction on his part. He added that he explained Canada’s recent trade arrangement with China to Trump, assuring that it is not a free-trade deal and is part of Canada’s strategy to diversify partnerships.
The dispute highlights ongoing tensions in Canada-U.S. relations, particularly over trade. Trump has threatened to impose 100% tariffs on Canadian goods if Ottawa facilitates Chinese access to the U.S. market, a move Carney interprets as a negotiation tactic ahead of USMCA talks. Carney noted that Canada was the first to recognize shifts in U.S. trade policy and is responding by forging agreements on multiple continents to bolster its economic sovereignty.
In Canada, opposition politicians have criticized Carney for not issuing an official readout of the call, calling for transparency to clarify the conflicting narratives. Conservative foreign affairs critic Michael Chong emphasized the need for written records to prevent misunderstandings, especially given the high-stakes nature of the bilateral relationship. Carney has historically been selective with readouts, and the White House also did not release one for this call.
Looking ahead, the incident underscores the fragile state of global diplomacy as middle powers navigate the rivalry between great powers. Carney’s Davos speech and the subsequent fallout reflect broader anxieties about a return to a pre-World War II order where might makes right. For Canada, balancing its close ties with the U.S. while asserting its independence remains a delicate challenge, with the USMCA review and ongoing trade negotiations likely to test this balance in the coming months.
