Canadian Prime Minister Mark Carney said Canada has no plans to pursue a free trade deal with China, countering President Trump’s threat of a 100% tariff on Canadian goods if such a deal proceeded.

Carney clarified that recent tariff adjustments with China only addressed a few sectors previously affected, not a full trade agreement.

Trump criticized the move, claiming China was “taking over” Canada and warning that U.S. access to Canadian markets is crucial for the auto industry.

The dispute comes amid broader tensions, including Trump’s push to acquire Greenland and his repeated jabs at Canadian sovereignty, the AP has reported.

Carney emphasized that middle powers must act together to counter coercion from larger nations, drawing praise at the World Economic Forum and indirectly challenging Trump’s policies.