Six months in, Canada's PM faces dilemmas on domestic, trade fronts

Carney's approval ratings slip as tariff rows with US, China remain unresolved

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After some six months as Canada's Prime Minister, former banker Mark Carney faces a tepid economy and mounting obstacles as he attempts to forge a new path for the country amid tariff disputes with its two largest trading partners.

Mr Carney has not sealed a new economic relationship with the United States, as promised during an election campaign defined by President Donald Trump's tariff and annexation threats, and is locked in a trade war with Canada's No. 2 trading partner, China.

While his minority government has passed one key piece of promised legislation, his policies have angered some in his Liberal Party's progressive wing, including migrant advocates and environmentalists.

Mr Carney, elected in April arguing he was best-placed to negotiate with Mr Trump and steer Canada’s economy through crisis, was widely seen as a test case for how other global leaders might stand up to the US President’s trade demands.

But his administration has made concessions to the US, such as removing many retaliatory tariffs, and dropped much of the fiercely patriotic language that mobilised Canadians against their southern neighbour.