Carney calls for national unity in face of economic challenges ahead

Prime Minister Mark Carney delivered a state of the nation speech Thursday, urging Canadians to pull together to confront the economic challenges ahead while lauding the country as a beacon to a world increasingly tilted toward authoritarianism.

Before meeting with his federal cabinet to plan for Monday’s return of Parliament, Mr. Carney offered a short history of the country’s progress and his hopes for the future.

He issued a call for national unity in the face of global threats but made no mention of the possible sovereignty referendums in Alberta and Quebec.

“When we are united, unity grows. When we are Canadian – inclusive, fair, ambitious – Canada grows,” he said.

The speech took place in front of journalists at La Citadelle, a historic military fortress built in the 19th century to secure Quebec City against a potential invasion.

The Prime Minister acknowledged that the Liberal government must act quickly to solve the pressing economic and cost-of-living problems facing the country as a result of Donald Trump’s tariffs.

The Conservative opposition has criticized Mr. Carney for his travels in pursuit of trade deals and investments and for talking about rebuilding the country – with little results to show.

“Now we need to execute. Fairly and fast,” Mr. Carney said. “We are building one Canadian economy and launching nation-building projects that will connect and transform our country.”

The speech largely focused on domestic affairs and is unlikely to receive the same accolades as he did at the World Economic Summit in Davos, Switzerland. Mr. Carney was lauded globally in Davos for saying the rules-based world order had fractured as a result of great powers using economic integration and tariffs as leverage.

It was a theme he returned to briefly in his speech Thursday, saying middle powers such as Canada can be a showcase of plurality and common sense.

“In a time of rising walls and thickening borders, we can demonstrate how a country can be both open and secure, welcoming and strong, principled and powerful,” he said. “The arc of history isn’t destined to be warped toward authoritarianism.”

But the speech stuck mostly to domestic issues and his pledge to tear down interprovincial trade barriers, fast-track major projects and lower the cost of living for Canadians.

He also touched on the potential and the threat of artificial intelligence, which can bring about incredible efficiencies but also lead to job losses.

“These tensions can only be reconciled if AI works for all. AI can provide powerful solutions,” he said, but added “realizing AI’s potential fairly will require fundamental reforms to our education system, skills training and social-welfare systems.”

The Prime Minister’s Office said the cabinet retreat will include briefings with economic and investment experts.

Mr. Carney’s speech in Davos focused on a call for middle powers to build coalitions to survive in an era where major powers prey on smaller countries to take what they want.

In that speech and his Thursday address, Mr. Carney said Canada is already recalibrating, laying out several examples of new trade deals, defence coalitions and other multilateral efforts that his government has undertaken in recent months.