Is the U.S.-Canada Relationship Over?

U.S. President Donald Trump visits with Canadian Prime Minister Mark Carney in the Oval Office of the White House on May 6.
JIM WATSON/AFP via Getty Images

Is the U.S.-Canada Relationship Over?

The deteriorating alliance in North America

On October 14, anti-tariff ads created by the government of Ontario began airing in the United States. The initiative, led by Premier Doug Ford, was intended to influence voters in Republican states to pressure President Donald Trump to stop the tariffs on Canada. Ontario spent more than $75 million in taxpayer dollars to create and promote these ads.

One ad featured clips from a televised address of the late President Ronald Reagan disparaging tariffs. This ad caused a firestorm.

President Trump responded on Truth Social: “The Ronald Reagan Foundation has just announced that Canada has fraudulently used an advertisement, which is fake, featuring Ronald Reagan speaking negatively about tariffs. The ad was for $75,000,000. They only did this to interfere with the decision of the U.S. Supreme Court and other courts. Tariffs are very important to the national security and economy of the U.S.A. Based on their egregious behavior, all trade negotiations with Canada are hereby terminated. Thank you for your attention to this matter!”

This was the last straw for the president. He suspended trade negotiations and threatened to increase tariffs by 10 percent.

Relations seemed to be at their lowest point since the War of 1812. U.S. Ambassador to Canada Pete Hoekstra said resuming trade negotiations was no longer possible and apparently went on a profanity-laced tirade against Ontario’s trade representative.

Prime Minister Mark Carney, who won the election to be Canada’s anti-Trump champion, apologized to Trump over the ads and dropped all reciprocal tariffs, but it appears there will be no free-trade deal in the near future. After tough talk of “elbows up” to Canadians, Carney received no concessions from Trump, and the relationship is worse now than it was a few months ago.

Can America and Canada be reconciled?

This is not only a schism between two traditional allies; it represents a strategic threat to the entire continent.

First, we must understand that neither side wants a trade deal.

President Trump does not want a new trade deal with Canada under the current framework of the United States-Mexico-Canada Agreement (usmca). Trump wants to negotiate a new bilateral deal with Canada that involves restructuring car manufacturing, dairy exports and border security. No matter how much Carney concedes or fights back, there will be no new deal until July 1, 2026, when the usmca will be jointly reviewed.

Carney also does not want a trade deal. While negotiating with Trump, the prime minister has attempted to build a strategic partnership with Europe and China to counter the U.S. One of the core strategic visions behind the fall 2025 budget Carney’s government just released is a diversification of trade to Europe and the Indo-Pacific (mainly Vietnam, Malaysia and China).

The “Canada Strong” budget states: “In particular, the government will focus its efforts on the Indo-Pacific—a pivotal source of long-term demand—and in Europe, where businesses can take advantage of established export links, a similar business culture, shared geopolitical interests, and emerging sectoral opportunities.” Carney believes Asia and Europe have “shared geopolitical interests” with Canada. That is veiled language for reorienting the world economy away from Trump’s economy. Canada will look to sell China and Europe more oil, gas and canola.

One of Carney’s main goals is to integrate the Canadian economy into the trillion-dollar European rearmament program. “There are opportunities for Canadian firms to support increased European defense spending, while Ukraine’s reconstruction needs could total $1 trillion, and Canadian businesses can benefit from enormous opportunities across nearly every sector, from engineering and energy to agri-food, health care and technology,” the budget states.

The budget presents the largest deficit in Canadian history outside of the pandemic: $73 billion. Carney is promising to spend $322 billion over five years, investing in infrastructure, the military and social services. With Canada on the verge of recession, Carney is trying to spend his way out of the economic hole created by Justin Trudeau. Will he succeed without the aid of the resurgent U.S. economy?

According to Abacus polling data, “a striking 70 percent of Canadians agree that they are willing to accept slower economic growth if it means greater economic independence from the U.S.”

Even if Trump and Carney negotiate a new trade agreement in 2026, the Carney government is intent on permanently changing the relationship with America. Trump does not consider Canada a strategic asset, but should he be worried about a rogue Canada?

Bible prophecy suggests he should be. Trump’s relationship with Canada is a microcosm of what is happening around the world. Many nations are willing to let Trump win in the short term while they build a long-term strategy to beat him.

Isaiah 23 prophesies of a “mart of nations,” an international economic union between Europe and Asia, that will freeze out the U.S. This is a prelude to a military attack by a resurgent Europe on the Anglosphere. Isaiah 10:5-6 prophesy of Assyria, modern-day Germany, leading this devastating attack: “O Assyrian, the rod of mine anger, and the staff in their hand is mine indignation. I will send him against an hypocritical nation, and against the people of my wrath will I give him a charge, to take the spoil, and to take the prey, and to tread them down like the mire of the streets.”

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It is dangerous for the U.S. to dismiss Europe, and a Europe-aligned Canada, as a future threat. It is also dangerous for Canada to become involved with the prophesied Holy Roman Empire.

The real story is how this schism between America and Canada is connected to this prophesied threat. The most tragic part is that our enemies will exploit this self-inflicted wound. These Bible prophecies are a result of our sins: Our selfishness, hatred and lawlessness against the Bible is the real cause of division between Canada, America and all nations.

Most Canadians dislike Trump, but is it better for Canada to join forces with the Holy Roman Empire? Don’t be caught unaware. Read The Holy Roman Empire in Prophecy to learn about the empire rising in Europe and God’s solution to this divided world.