Canadian Prime Minister Mark Carney shared insights into his diplomatic relationships with several major world leaders, including U.S. President Donald Trump, Chinese President Xi Jinping, and Indian Prime Minister Narendra Modi, during a fireside discussion in Australia earlier this week.
Carney spoke at an event hosted by the Lowy Institute in Sydney, where he was interviewed by the think tank’s executive director, Michael Fullilove. During the conversation, the Canadian leader explained how he approaches global diplomacy and highlighted the importance of cooperation among so-called “middle powers.”
While discussing his interactions with U.S. President Donald Trump, Carney said his approach is grounded in respect but avoids excessive deference. He noted that Trump’s political success reflects his effectiveness as a leader.
According to Carney, Trump values straightforward communication. He said the U.S. president prefers leaders who clearly state their positions and are willing to engage in direct conversations, particularly behind closed doors.
Carney emphasized that maintaining credibility is key when dealing with Trump, adding that leaders should avoid making public statements they cannot support later. He also said private discussions with Trump often allow for more detailed exchanges of views and can help move negotiations forward.
Relations between the two leaders have become strained in recent months. Trade tensions between Canada and the United States intensified in October 2025 after the Ontario government aired an anti-tariff advertisement on American television networks.
The relationship deteriorated further following Carney’s speech at the World Economic Forum in Davos earlier this year. During that address, he criticized elements of protectionist policies and suggested that middle-sized nations should work together to counter the influence of dominant global powers.
Trump responded the next day during his own Davos speech, saying Canada benefits heavily from the United States and suggesting Carney had shown insufficient appreciation.
Despite the friction, Carney reiterated during the Sydney event that cooperation among middle-sized countries could play a major role in shaping the future global order.
Carney also spoke about his interactions with Chinese President Xi Jinping and the challenges of engaging with China’s political system.
He recalled his first meeting with Xi as Canada’s prime minister at the Asia-Pacific Economic Cooperation summit in South Korea last October. According to Carney, Xi spent much of the early conversation explaining how he prefers diplomatic engagement to be conducted.
Carney said Xi emphasized a “no surprises” approach, encouraging leaders to raise concerns directly rather than publicly criticizing China. Carney interpreted the message as a call for frank but private communication.
The Canadian prime minister said his government has set clear boundaries on areas where Canada and China can cooperate and where cooperation is unlikely, describing the approach as establishing “guardrails” for the relationship.
His remarks follow a visit to China in January where Canada and China signed several agreements covering sectors such as electric vehicles, law enforcement cooperation, energy, and finance. During the trip, Carney described the bilateral relationship as entering a “new era” and called it a strategic partnership.
However, the move toward closer engagement with Beijing has drawn criticism from some Canadian opposition figures. Conservative Leader Pierre Poilievre has warned that while dialogue with China is important, Canada should not weaken its relationship with the United States in favor of what he described as a risky partnership.
Carney responded to such concerns by noting that Canada’s economic integration with China remains relatively limited. He argued that expanding cooperation in carefully selected areas poses minimal risk and could benefit both countries.
Carney also addressed his relationship with Indian Prime Minister Narendra Modi. He described Modi as a unique leader with a reputation for intense dedication to his work.
According to Carney, Modi has not taken a day off from his public roles in more than two decades and maintains a strong focus on ensuring government resources reach citizens directly.
The two leaders met earlier this week in New Delhi, where Canada and India announced several new agreements, including a $2.6 billion uranium supply deal. Both countries also agreed to accelerate negotiations on a Comprehensive Economic Partnership Agreement, with hopes of finalizing discussions by the end of the year.
Carney said the strengthened partnership with India is part of Canada’s broader strategy to diversify trade relationships amid ongoing tariff disputes with the United States.
Diplomatic relations between Canada and India had been severely strained since 2023, when former Prime Minister Justin Trudeau accused Indian authorities of involvement in the killing of Sikh activist Hardeep Singh Nijjar in British Columbia. India rejected the allegation, and the dispute led to a sharp deterioration in ties.
Since taking office last year, Carney has worked to repair the relationship. He invited Modi to attend the G7 summit in Alberta, a move he said helped restart dialogue between the two countries.
Carney noted that Canada and India have held several ministerial-level meetings since then and have made significant progress in rebuilding cooperation. Still, he acknowledged that further work will be required to fully restore trust and strengthen the partnership moving forward.
