Canadian Prime Minister Mark Carney’s first official visit to Mexico as leader came at a pivotal moment for North American trade relations, with high-stakes negotiations on the horizon and regional tensions simmering just beneath the surface. On September 18, 2025, Carney met with Mexican President Claudia Sheinbaum in Mexico City, determined to reinforce the partnership between their two countries amid renewed threats of U.S. tariffs and uncertainty about the future of the United States-Mexico-Canada Agreement (USMCA).
The meeting, held at the presidential palace, was more than a diplomatic formality. It was a strategic move by both leaders to present a united front ahead of the 2026 USMCA review—a process that could reshape the economic landscape of North America. According to The Globe and Mail, Carney and Sheinbaum walked side-by-side into the palace, their body language signaling solidarity at a time when the trilateral relationship faces significant tests.
Carney did not mince words when pressed by reporters about Mexico’s commitment to the trilateral agreement. When asked whether Canada had received any reassurance from Sheinbaum that Mexico would not pursue a separate bilateral deal with the United States, Carney replied, “We’ll move forward together without question.” He doubled down, adding, “Is that unequivocal enough for you? Because if you want it to be unequivocal, just write down ‘unequivocal.’” (as reported by The Globe and Mail). The clarity of his response was designed to leave no room for doubt: Canada and Mexico intend to negotiate as a team when it comes to their vital trade relationship with the U.S.
The context for Carney’s remarks is rooted in recent history. During the tumultuous 2018 renegotiations of NAFTA, then-U.S. President Donald Trump and former Mexican president Enrique Peña Nieto announced a bilateral agreement that nearly left Canada out in the cold. The memory of that near miss still lingers in Ottawa and Mexico City. More recently, political posturing in 2024—when former Canadian Prime Minister Justin Trudeau and Ontario Premier Doug Ford floated the idea of a Canada-U.S. trade deal that would sideline Mexico—briefly strained relations. President Sheinbaum dismissed Ford’s comments as pre-election theatrics and has since reiterated her commitment to trilateral cooperation.
“North America is the economic envy of the world, is the most competitive economic region of the world, and part of the reason for that is the cooperation between Canada and Mexico,” Carney said at a press conference after his meeting with Sheinbaum, as reported by Reuters. “We complement the United States. We make them stronger. We are all stronger together.”
The USMCA, which replaced NAFTA in 2020, is scheduled for a formal review in 2026. The stakes are high: the agreement underpins roughly $1.5 trillion in annual trade across the continent. Any disruption could send shockwaves through industries from automotive manufacturing to agriculture. The specter of new U.S. tariffs—often wielded as a bargaining chip in Washington—has both Ottawa and Mexico City on alert.
Carney’s trip was not all about trade talks. He also used the occasion to announce a series of diplomatic appointments, signaling a broader effort to strengthen Canada’s position on the world stage. David Lametti, a longtime friend and top aide to Carney, was named Canada’s next ambassador to the United Nations. Lametti will replace Bob Rae in New York on November 17, 2025, just as Ottawa prepares to recognize the state of Palestine at the 80th U.N. General Assembly. Vera Alexander will become Canada’s ambassador to Germany, filling a vacancy left after the death of former ambassador and B.C. premier John Horgan.
Carney’s itinerary in Mexico City included a photo opportunity at the Canadian Pacific Kansas City Ferrovalle train yard before his return flight, a symbolic nod to the importance of trade infrastructure in maintaining the flow of goods across borders. The visit came as both countries face mounting economic pressures, with the U.S. presidential election cycle adding another layer of unpredictability to the region’s outlook.
Meanwhile, in Canada, political and climate-related developments continued apace. Former Environment Minister Catherine McKenna, now chairing a U.N. panel on net zero, rallied policymakers in Ottawa to intensify their efforts in the climate fight, declaring, “Just because one guy in the United States doesn’t believe in climate change, doesn’t mean you stop working.” Her comments, reported by Politico, earned applause from climate leaders and underscored the ongoing challenges facing Canada as it strives to meet its 2030 emissions reduction targets—a goal that a new report from the Canadian Climate Institute warns may now be out of reach due to weakening policy momentum.
Carney, for his part, has made clear that his government’s mantra is “build, baby, build,” reflecting his ambition to transform Canada into an energy superpower. “We will need to do things previously thought impossible at speeds we haven’t seen in generations,” he has said repeatedly. When recently asked about Canada’s commitment to climate targets, Carney told reporters that his government is focused on “results, not objectives”—a pragmatic, if somewhat cautious, approach that reflects the complex interplay between economic growth and environmental stewardship.
Back in the realm of industrial policy, academic Christopher Ragan offered a word of caution to a government eager to move quickly: “It’s almost impossible to spend large amounts of money, both quickly and smart. You can do one or the other,” Ragan told an audience at the Institute for Research on Public Policy. “You can piss away large amounts of money very quickly. But if you are going to spend money in a way that is good for the economy in the long run, it actually takes a little bit of time to think it through.”
As Carney wrapped up his two-day visit to Mexico, the message from both capitals was clear: unity and careful planning are essential as North America prepares for a potentially contentious round of trade talks. While the U.S. remains the economic fulcrum of the region, the partnership between Canada and Mexico is now more important than ever. Both governments are determined to avoid the missteps of the past and present a united front as they defend their interests in the face of American pressure.
For Carney, the trip was a chance to set a new tone with a key ally and to reaffirm Canada’s place in the trilateral relationship. For Sheinbaum, it was an opportunity to signal that Mexico values its partnership with Canada and is not interested in being divided from its northern neighbor. As the countdown to the 2026 USMCA review begins, all eyes will be on how these diplomatic overtures translate into concrete results at the negotiating table.
With so much at stake, the coming months promise to test the resolve and unity of North America’s leaders as never before.