Prime Minister Mark Carney used his address at the World Economic Forum in Davos to deliver one of the most direct foreign policy speeches by a Canadian leader in years, arguing that the long relied upon rules based international order is no longer functioning as advertised. Speaking to global political and business leaders, Carney said the world is no longer in a period of transition but experiencing a clear rupture, driven by rising rivalry among major powers and the increasing use of trade, finance, and supply chains as tools of coercion. According to Global News, Carney warned that pretending the old system still works only weakens countries that continue to rely on it.
Carney framed his argument through the lens of middle powers like Canada, which he said face a critical choice in a world dominated by the interests of the United States, China, and Russia. Referencing the writings of Czech dissident Václav Havel, Carney argued that many nations have continued to publicly support global rules they privately know are no longer enforced evenly. He said this quiet compliance has allowed structural imbalances to persist, even as tariffs, sanctions, and economic pressure are used more aggressively by powerful states.
According to Global News, the prime minister made clear that Canada is shifting away from passive reliance on global institutions and toward what he described as value based realism. This approach, he said, combines a firm commitment to democratic principles, sovereignty, and human rights with a pragmatic understanding that not all partners share the same values. Carney emphasized that Canada is no longer relying solely on moral authority, but is actively strengthening its economic and strategic position through domestic investment, defence spending, and diversified international partnerships.
Carney outlined a broad agenda aimed at reducing vulnerability and increasing resilience. He highlighted the removal of federal barriers to interprovincial trade, major investments in energy, artificial intelligence, and critical minerals, and a significant increase in defence spending by the end of the decade. Internationally, he pointed to new trade and security agreements across Europe, Asia, and the Middle East, as well as deeper cooperation with NATO allies and emerging coalitions on issues ranging from Ukraine to Arctic security. Speaking to Global News, Carney stressed that middle powers gain leverage not by acting alone, but by coordinating strategically with one another.
In closing, Carney said Canada is choosing to confront global realities honestly rather than clinging to nostalgia for a system that no longer delivers fairness or stability. He described Canada as a country with resources, talent, capital, and democratic legitimacy that many others seek in an uncertain world. According to Global News, Carney concluded that middle powers must stop performing sovereignty while accepting subordination, and instead work together to build a more resilient and cooperative global framework. He said Canada is ready to lead that effort, openly and without illusion.
