Canada's Liberals Set to Form Minority Govt; Old Ties With US 'Over'

PM Carney Warns of Tough Times Ahead After Party Beats Conservatives in Election

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OTTAWA - Canadian Prime Minister Mark Carney's Liberals retained power in the country's April 28 election, but fell short of the majority government he had wanted to help him negotiate tariffs with US President Donald Trump.

The Liberals were leading or elected in 167 electoral districts, known as seats, followed by the Conservatives with 145, with votes still being counted.

The Liberals had needed to win 172 of the House of Commons' 343 seats for a majority that would allow them to govern without support from a smaller party.

"Our old relationship with the United States, a relationship based on steadily increasing integration, is over," Mr. Carney said in a victory speech in Ottawa.

"The system of open global trade anchored by the United States, a system that Canada has relied on since World War II, a system that, while not perfect, has helped deliver prosperity for our country for decades, is over.

"These are tragedies, but it's also our new reality."

Mr. Carney said the coming months would be challenging and require sacrifices.

Ms. Shachi Kurl, president of the Angus Reid Institute, a polling firm, told Reuters that the Liberal win hinged on three factors.