Good morning. Did you feel the deep freeze across Canada this weekend? Tensions with the U.S. escalated after the World Economic Forum in Davos, Switzerland, as President Donald Trump threatened a 100 per cent tariff Saturday. Prime Minister Mark Carney responded with a "Buy Canadian" ad and a pledge not to pursue free trade with China.
Icy relations continue as Trump's envoy to Ottawa tells CBC News that NORAD will need a rethink if Canada doesn't buy 88 F-35 fighter jets. We'll get into the envoy's comments, another fatal shooting by U.S. immigration officers in Minneapolis and fallout from the bone-chilling cold snap.
|
|
|
|
|
|
|
 |
Patrick Doyle/The Canadian Press
|
|
Liberals set to introduce grocery rebate, sources say
|
|
|
Prime Minister Mark Carney is set to announce an increase to the GST credit on Monday, as part of a larger suite of affordability measures intended to offset the rising cost of groceries.
Sources tell CBC that quarterly GST payments will increase by 25 per cent over the next five years, and the measure is expected to affect approximately 12 million Canadians. It will also include a one-time top-up of 50 per cent in June.
The move comes as Carney faces pressure from the opposition to address grocery prices, which are outpacing other forms of inflation.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FEATURED STORIES
|
|
|
 |
(CBC)
|
|
|
NORAD pact would change if Canada pulls back from F-35 order, warns Trump envoy to Ottawa
|
|
|
Pete Hoekstra, U.S. ambassador to Canada, is warning of consequences to the continental defence pact NORAD if Canada doesn't move forward with the purchase of F-35 fighter jets.
What's happening: U.S. President Donald Trump’s envoy to Ottawa sat down with CBC News in an exclusive interview at Luke Air Force Base in Arizona. He said "NORAD would have to be altered" if Canada does not increase its purchase of F-35s beyond the 16 currently on order. "If Canada is no longer going to provide that [capability], then we have to fill those gaps," said Hoekstra.
Canada's options: A top official in Denmark has warned Canada against ordering the F-35 jets. They say the jets need repairs often, which gives the U.S. power to withhold parts. If the Carney government were to order Swedish-built Gripen fighter jets instead, as it is considering, Trump's envoy said NORAD would still have to be rethought. Hoekstra called them an "inferior product that is not as interchangeable."
|
|
|
|
|
|
|
|
|
|
|
No plans for China free trade deal, Carney says as Trump fixates on Canada
|
|
|
Prime Minister Mark Carney says Canada has "no intention" of pursuing a free trade agreement with China, as U.S. President Donald Trump threatens to impose crippling tariffs if Canada "makes a deal with China."
What happened: Trump threatened on Saturday to impose a 100 per cent tariff on Canadian goods entering the U.S. if Canada "makes a deal with China." The president jabbed "Governor Carney" for allowing Chinese products to flow unchecked through Canadian ports. On Sunday, the U.S. treasury secretary clarified that the tariffs are possible if Canada makes a free trade deal with China.
A done deal: Canada reached an agreement with China earlier this month to allow 49,000 Chinese EVs into the market at a lowered tariff rate of 6.1 per cent in exchange for China lowering tariffs on Canadian canola and other products. On Sunday, Carney indicated this was not a free trade deal and that his government respects commitments to the U.S. and Mexico under CUSMA.
What's next: Trump continued to voice his displeasure on Sunday afternoon, arguing on social media that "China is successfully and completely taking over the once Great Country of Canada." In an interview on Rosemary Barton Live Foreign Affairs Minister Anita Anand did not express concern about Canada's relationship with the U.S., saying "we won't put all our eggs in one basket."
|
|
|
|
|
|
|
|
|
|
|
